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Most companies are accepted before their product works. But you sound like you haven't even started trying to build it yet. Start building something. Hacking together a crappy prototype always brings surprising insights.

Many founders are in their 40s and some are in their 50s.

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I do have something - but it is not very far along. Was wondering how far along it needs to be - we just have a rough working wireframe and an early prototype, but no customers. The impression I got from the article is that they did not have any/many customers either. So how important is to already have actual paying customers and users.

We got into YC before we had any customer, so it is possible. But personally, I would recommend that you wait until you have your MVP first. You don't want to spend half of YC building you MVP, since partners can't really help you defining your vision. What they are really good at is helping you optimize it.

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