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Ryan Petersen said that when he first applied to Y Combinator he pitched Flexport…

Brief

Ryan Petersen recounts that Flexport began as a "TurboTax for customs" when he applied to Y Combinator, but learning from customers and vendors revealed far greater complexity, causing the vision to broaden. He advises founders against rigid certainty about product shape; Y Combinator CEO Garry Tan says this expansion-as-you-learn pattern is common (Mar 2022).

Why it matters

Ryan Petersen said that when he first applied to Y Combinator he pitched Flexport as “TurboTax for customs,” but repeated customer and vendor conversations showed the logistics/customs space was far messier and expanded the company's vision.

Key details

  • Petersen warned: "If a founder is too certain of exactly what the vision is and what the product’s going to look like and how it’s all going to work, they’re probably wrong. The world is super messy."
  • Y Combinator CEO Garry Tan echoed this pattern, stating founders often start with a solvable problem and the product’s scope "sorts expands and expands" as users adopt it (source: @garrytan, Mar 2022).
Source evidence

Flexport CEO Ryan Petersen explains why your initial vision for your company is probably wrong

When Ryan first applied to Y Combinator he wanted Flexport to be “TurboTax for customs.” But that vision changed a lot. As Ryan explains:

“The more you learn and the more customers you talk to and the more vendors you talk to, the more you realize how screwed up the world is in this space. Then [the vision] actually gets bigger and bigger and keeps expanding.”

Y Combinator CEO Garry Tan says this is a common pattern he sees in startups too:

“There’s a misconception that you wake up from a haze and you’re like ‘This is it. This is the vision.” But the story is actually ‘Oh here’s this thing that I know I can solve.’ And then once you solve it and people really like it, it sort of expands and expands.”

Ryan concludes:

“If a founder is too certain of exactly what the vision is and what the product’s going to look like and how it’s all going to work, they’re probably wrong. The world is super messy.”

Source: @garrytan (Mar 2022)

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