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  1. The Lobster Talks Podcast by Lobster Capital
  2. The Most Overlooked Startup from YC S25
The Most Overlooked Startup from YC S25

The Most Overlooked Startup from YC S25

The Lobster Talks Podcast by Lobster Capital · Oct 7, 2025

Real Roots founder Dorothy Lee on building a $9.4M ARR consumer AI app by tackling loneliness, starting manually, and proving VCs wrong.

Master a Task Manually Before Automating It With AI

To build an effective AI product, founders should first perform the service manually. This direct interaction reveals nuanced user needs, providing an essential blueprint for designing AI that successfully replaces the human process and avoids building a tool that misses the mark.

The Most Overlooked Startup from YC S25 thumbnail

The Most Overlooked Startup from YC S25

The Lobster Talks Podcast by Lobster Capital·4 months ago

Overcome Market Stigma by Targeting an Open-Minded "Wedge" Customer Segment

To launch a product in a market with social stigma, first identify a "wedge" demographic that is uniquely open to the solution. For Real Roots, this was young women, who are historical early adopters of mental health tools. Success with this group normalizes the behavior, allowing it to spread to broader markets.

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The Most Overlooked Startup from YC S25

The Lobster Talks Podcast by Lobster Capital·4 months ago

Investor "Scar Tissue" Creates Opportunities in Once-Failed Markets

Investors often reject ideas in markets where previous companies failed, a bias they call "scar tissue." This creates an opportunity for founders who can identify a key change—like new AI technology or shifting consumer behavior—that makes a previously impossible idea now viable.

The Most Overlooked Startup from YC S25 thumbnail

The Most Overlooked Startup from YC S25

The Lobster Talks Podcast by Lobster Capital·4 months ago

YC's Value Extends Beyond Early Startups to Pre-Series A Companies

Even startups with traction and pre-seed funding find Y Combinator transformative. YC partners provide unparalleled, stage-specific feedback that founders can't easily get elsewhere, making the 7% equity cost worthwhile for companies well beyond the idea stage.

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The Most Overlooked Startup from YC S25

The Lobster Talks Podcast by Lobster Capital·4 months ago

Find Your Co-Founder By Attracting Them As an Early User

Non-technical founders can attract technical co-founders by first building a manual, non-scalable version of their product. This creates a user base of passionate early adopters who are mission-aligned. The ideal co-founder is often among these first users, as they have already demonstrated belief in the solution.

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The Most Overlooked Startup from YC S25

The Lobster Talks Podcast by Lobster Capital·4 months ago

Validate Your Idea by Cold DMing Strangers for a Small Payment

A powerful, low-cost way to validate demand is to cold message thousands of potential users on platforms like Facebook groups. Crucially, ask for a small payment upfront (e.g., $20). This filters out polite but non-committal interest, providing a strong signal of genuine need and willingness to pay.

The Most Overlooked Startup from YC S25 thumbnail

The Most Overlooked Startup from YC S25

The Lobster Talks Podcast by Lobster Capital·4 months ago

Widespread Investor Skepticism Can Signal a Non-Obvious, High-Potential Idea

When an idea is met with a "wall of skepticism" from investors, it can be a positive sign of a good, non-obvious market. If every VC immediately validates your idea, it's likely too obvious and crowded. Proving early skeptics wrong with traction is a powerful path to building a defensible business.

The Most Overlooked Startup from YC S25 thumbnail

The Most Overlooked Startup from YC S25

The Lobster Talks Podcast by Lobster Capital·4 months ago