FAQ
Frequently asked questions
Clear answers about wallet credit, usage, subscriptions, and how Tycoon charges for work.
What's a Shared Earnings Agreement and why does it matter?
A SEA is a capital structure where the investor receives a share of the company's profits (typically 1-10%) up to a return cap, rather than equity with dilution. The founder keeps control and never has to sell or raise another round unless they want to. For bootstrapped SaaS founders who don't want the VC pressure to scale or exit, it's a much better fit than traditional equity. Earnest Capital popularized the structure, and it's now used by multiple bootstrapped-focused funds. It matters because it makes capital available for the shape of business most solo founders actually want to build.
What does Tyler look for in AI-native solo founders today?
Based on his public writing: founders who can articulate specifically how AI tooling changes the shape of their business (not vague 'we use AI'), who have a narrow wedge with provable demand, who charge from day one, and who have distribution either built or realistically plannable. The anti-pattern he flags: 'we're an AI wrapper for existing tool' with no clear wedge. The pattern he likes: 'we do X specific job for Y specific customer, and the AI team lets us do it at one-tenth the traditional cost'.
Can I raise from Earnest Capital?
Earnest Capital's public criteria are typically: running revenue (not pre-revenue), bootstrapped or minimally funded, clear unit economics, and a founder who actively wants the bootstrapped path not the VC path. Check sizes are usually $50K-$500K depending on stage. The application process is public on their website. Earnest is selective — they fund a small number of companies per year — but they're reachable in ways traditional VCs often aren't for smaller founders.
How does Tyler see AI-native companies differently from traditional SaaS?
He's argued publicly that the cost structure of running a SaaS has dropped by an order of magnitude because AI tools replace what used to require human specialists. This means: smaller companies can reach meaningful revenue, profitable earlier, and more defensible because the lean operating model is hard to disrupt from above. His thesis is that the next generation of category-defining SaaS will come from solo or small-team founders using AI tooling, not from VC-backed 50-person teams. Earnest Capital's deployment pattern reflects this belief.
What can I learn from the Storemapper exit?
Solo SaaS businesses at modest scale are acquirable when they're profitable, have clean books, serve a clear niche, and can run without their founder. Tyler set up Storemapper so that it could be handed off — documented operations, minimal founder-dependent relationships, clear metrics. Most solo founders don't prepare their business for exit and then wonder why they can't sell it. The lesson: if exit is on the table, build the business to be operable without you from day one. This is also good discipline even if you never sell.