Preston Silverman on Building out a Marketplace in Education - at YC Edtech Night

TL;DR

RaiseMe allows students to accrue college scholarships and grants during high school based on their achievements, rather than waiting until after acceptance, to make aid more transparent and empowering. The company started with colleges as the funding source, built geographic density in the marketplace, and raised funding after gaining traction.

Key insights

• Over 80% of US jobs created since the recession require a college degree, yet rising costs make students question the path; $100B+ in aid is already awarded annually but too late to affect college dec
• The core premise: move aid earlier by letting students accrue micro-scholarships during high school based on individual progress, skills, and talents.
• In a marketplace, it is better to secure the funding source (colleges) first, assuming students will follow, rather than trying to acquire students without funds.