Why Right Now is the Best Time to Start Building

Estimated read time: 2 minutes 40 seconds

This weekend, I watched the YC partners reflect after their latest AI founder retreat. The data points I'm seeing paint a clear picture: the fundamentals of building startups have changed.

The Numbers That Caught My Attention

Here's what stood out: their last two batches averaged 10% week-over-week growth. Not just the top companies – the entire batch. For context, this growth rate was previously achieved by only the most exceptional companies, the Airbnbs of each batch.

Something remarkable is happening: Companies are going from zero to $12 million in revenue in just 12 months. A few years ago, this would have seemed impossible. The target used to be hitting $1 million ARR in 12-18 months after launch. Now, some companies are hitting that in six months – and that's becoming the minimum expectation.

Three Major Shifts

These numbers tell us something has fundamentally changed. Three major shifts stand out:

1. Unprecedented Market Demand

What I'm seeing in market demand is unlike anything before. For the first time in enterprise software history, there's no resistance to adoption. Previous waves like cloud or mobile always had skeptics in the room. With AI, everyone is saying yes. The challenge isn't convincing people to buy – it's building something that works.

2. Evolution of Tools

I'm watching how the tools for building have evolved dramatically. What I've observed is that AI isn't just a market opportunity; it's a force multiplier for founders. What once required large teams can now be accomplished by a few focused individuals. I'm seeing companies hit eight-figure revenues with teams that would have seemed impossibly small just a few years ago.

3. Speed of Iteration

I'm noticing how the speed of iteration has accelerated. Product development cycles that used to take months now take days. When you combine rapid iteration with eager customers, you get compounding growth that was previously unattainable.

The Real Opportunity

While these shifts are already dramatic, here's what makes this moment truly special: We're just at the beginning. I'm watching the universe of possible businesses expand. Products that weren't economically viable before are now possible. Problems that were too expensive to solve are now within reach.

What This Means For Founders

What does this mean for those of you thinking about starting something?

• Higher Bar, Higher Ceiling: The bar for execution is higher, but so is the potential reward. Users expect polished products, but the tools to deliver them are more powerful than ever.

• Small Teams, Big Impact: You don't need a large team to build something significant. Focus on leverage over headcount.

• Speed Over Perfection: The ability to iterate quickly is your competitive advantage. Ship fast, learn faster.

• Market Readiness: If you can build something that works, customers are ready to buy. The friction of adoption has never been lower.

The Bottom Line

Looking at all of this together – the growth rates, the team sizes, the market demand – it's clear that something fundamental has changed.

What I'm seeing isn't just a shift in technology or markets. It's an expansion of what's possible. Problems that seemed too hard or too expensive to solve just months ago are now within reach.