Five Tips For Managing Your Startup During An Economic Downturn

Navigating the impact of a recession won’t be easy, but with the right preventative measures, startups can position themselves to ride out the storm. 1. Undertake proven cost-cutting measures. 2.  Turn to freelancers. 3. Be smart about alternative funding options. 4. Develop a plan of action with your strategic partners. 5. Consider pivoting your business. 

Default Alive or Default Dead?

When I talk to a startup that’s been operating for more than 8 or 9 months, the first thing I want to know is almost always the same. Assuming their expenses remain constant and their revenue growth is what it has been over the last several months, do they make it to profitability on the money they have left? Or to put it more dramatically, by default do they live or die? The startling thing is how often the founders themselves don’t know. Half the founders I talk to don’t know whether they’re default alive or default dead.