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I genuinely feel sad when any Indian startup boasts about being funded by Y Combinator 🙏🙏 That is so because there is this unwritten rule that YC only invests in startups which are registered in the US, Singapore, Canada or Cayman Islands. So even if you do all your business in India, you end up having to get your startup’s domicile shifted out of India to one of those options. Or else, you don’t get that brag-worthy cheque from YC. .. I know many Indian startups that had to change their domicile to those nations. To start with, Zepto and Razorpay - which have now moved back to benefit from the favourable regulations in that sector, and an IPO that is likely in next one year. And almost all such founders that I know agree that the hassle is not worth it in the longer run, because it drives up the compliance burden even more than what it is for India-registered businesses. .. And there is one more problem. You see, the Govt of India has a Startup India Scheme, to benefit from which, a startup must be incorporated and domiciled in India. - Approximately 1.6 lakh startups are registered under the programme, offering a range of incentives - But, every time YC funds an Indian startup, it becomes ineligible to register for the flagship startup promotion schemes of its own country, because it’s no more domiciled here Tell me, does that sound good?