Maybe I’ve been spending too much time with the open source crew, but it seems like any barrier to entry would reduce the amount of potential applicants. It would make sense for organizations like techstars to partner with angels or banks to help the founders stay afloat during the seed phase.

I’ve banked some cash so I’m considering applying, but I doubt any of the money I got from them would go towards my salary. I have mixed feelings about putting my contracts on hold, however.

It’s probably a tough microeconomic game to play for them. You want to give enough but not too much to incentivize the seeking out of funding. You also want to weed out the entrepreneurs that aren’t willing to take calculated risks.