Nobody ever pays too much or too little for a startup. Because either you __really__ make it, or you don't. It is statistically more likely for your YC startup to be worth more than $1 billion, than it is to be acquired in a cash deal for $80mm. It is because of this fact that $2/22mm is not unreasonable. However, most of the hot companies during the batch will fetch $3-4mm/30-40mm valuation. The average raise during demo day is close to ~$3mm, the median <$800k.