Launched: 3 Cool New Startups

View in browser Y Combinator Demo Day Standouts, Winter 2015 By Adam Sharp on March 27, 2015 This week marked a semiannual tradition in the startup world. More than a hundred promising young startups graduated from Y Combinator (YC). It happens only twice a year, and promising companies tend to emerge from most "batches." Previous alumni include... Dropbox (estimated value $10 billion) Airbnb (estimated value $20 billion) Reddit (estimated value $550 million) Zenefits (estimated value $500 million). And too many other promising young companies to name here. For those who aren't familiar with YC, it's a "startup accelerator" program - the largest and arguably the most successful one in the world. It's run by some of the most successful entrepreneurs and investors around. Only around 2% to 3% of companies that apply are accepted. YC is well-known for its selectivity, as well as for its ability to pick startups with big potential, and then help them succeed. In essence, YC takes startups under its wing. It invests in all the companies, but that's only one part of the process. Startups that are accepted move out to San Francisco for three months as part of the current "batch." They learn how to build better companies from elite mentor networks... how to approach the financing process... common mistakes to avoid.. how to find talent... and other valuable startup lessons (some of which are posted online). Graduates also gain access to an unmatched network of fellow YC alumni. Over 800 tech-oriented companies have now graduated from YC. This latest batch had over 100, far surpassing the previous record. It's becoming a very powerful group. Alumni status alone is enough to open some doors. Also, classmates frequently help each other out - with hiring, warm referrals and advice. Plus, they often become users of each other's products. Standouts in the Y Combinator Winter 2015 Class It's always fun to take a look at the new YC batch, and this winter's class seems stronger than ever. This year's "demo day" event - where all new YC startups pitch to hundreds of potential investors - was so big it had to be split into two days. Over the last few days, I've examined every single one of 100-plus new graduates (some more than others). And I have to say it's an impressive group. Here are three of the most interesting companies I've seen so far. "This could change the future of computers and other devices forever" MIT experts now predict five billion people will use tablets or comparable devices within a decade. And a new technology breakthrough stands to make all of these gadgets faster, lighter, and cheaper than imaginable. The BBC reports this innovation "could change the future of computers and other devices forever." Most shocking is that one small company holds the key patents on this discovery. Its earnings could soon mushroom from millions, to billions. And of course, its underpriced $9 shares would explode too. Full details here. FROM A SPONSOR Transcriptic: Robotic drug testing in the cloud In the last year, YC has been warming up to biotech startups. Transcriptic is a good example of why it's interested in the space. The company uses specialized robots and machinery to streamline parts of the drug-testing process. Drugmakers and other researchers can run experiments on Transcriptic's machines remotely. Then they access the results in the cloud. Great concept... and first to market according to Techcrunch. Note: Transcriptic is more mature than most new YC companies. The majority aren't nearly this far along. But partnering makes sense in this case. For example, Transcriptic is offering fellow YC biotech startups $20,000 worth of free testing. If it works out well, Transcriptic just got a new customer. One they might have for a very long time. That's the YC network effect at work. BankJoy - Mobile Banking for Credit Unions I've been meaning to move my accounts from Bank of America to a local credit union for years. One of the things that stops me is Bank of America's superior mobile experience. I can do everything I need right from my phone and even deposit a check by taking a picture of it. When it comes to mobile banking apps, small banks and credit unions can't compete with the big banks. It costs hundreds of thousands to develop a custom banking app, and most small banks can't afford that. Bankjoy aims to change that. It's making a white label app that any credit union can make into its own branded version. Bankjoy charges credit unions $1 per user per month. EquipmentShare - Marketplace for heavy equipment rental Ready for a mind-blowing statistic? Construction equipment rental is a $32 billion per year industry in the U.S. Who knew? Apparently most of the heavy equipment owned by contractors is severely underutilized. Most of the time it collects rust until the contractor's next job comes up. Why not allow contractors to rent equipment to each other? EquipmentShare is building a peer-to-peer marketplace to do just that. Big industry? Check. Outdated technology? Check. Young, scrappy company looking to knock over the chessboard? Check. Which do you like best? Let us know in the comments. You can see a full list here (Part 1) and here (Part 2). Regards, Adam Sharp Founder, Early Investing P.S. EquipmentShare is a good example of an area we follow closely - companies seeking to capitalize on excess capacity: things or people that could be doing something productive, but currently aren't.                   Recent Articles From Early Investing These States Won't Wait for the JOBS Act By Peter Clough on March 27, 2015 While the equity crowdfunding industry impatiently waits for the SEC to move forward on issuing rules for Title III of the JOBS Act, which will allow almost anyone, not just accredited investors, to make equity investments in startup companies, many states have gone ahead and enacted provisions of their own. In 2015, It's Trust or Bust By Andrew Gordon on March 25, 2015 Today, I'd like to present a piece we first sent out on New Year's Eve. Due to timing, the article didn't get the attention it deserves, so we're republishing it now. In it, Andy breaks down how trust affects our investment decisions. An important topic, especially when it comes to something new and disruptive - like online startup investing. Why You Can't Invest in the Next Microsoft By Adam Sharp on March 20, 2015 A major shift in U.S. markets happened in the last decade or so. And most people still haven't realized how significant it was. Here's the problem: High-growth companies are staying private longer than ever. Doesn't sound like that big of a deal, right? Let me explain why I think it is. Read on... © 2015 Early Investing, LLC All Rights Reserved North America: 1 800 683 0687; Fax: 1 410 329 1923 International: +1 443 353 4254; Fax: +1 410 329 1923 Email: news@earlyinvestinginfo.com Privacy Policy | Whitelist Early Investing Click here to unsubscribe Nothing published by Early Investing, LLC should be considered personalized financial advice. 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