Not exact matches
Cash isn't everything when it comes to
starting a business, but when you
run out of it, there's not much that can help, according to 13 %
of the surveyed startup founders.
Sometimes, the publisher is just woefully inept or ignorant
of the business or finds they
ran out of start - up
cash quicker than they thought.
Most companies that
started out between 2009 - 2014 have
run into one
of a number
of walls related to scaling — they couldn't capture enough share to make publishers interested, couldn't get big enough to keep investors interested, tried
out a business model that didn't work, couldn't raise
cash after VCs moved on from ebooks to the next shiny thing, or their parent company didn't see a path to profitability and decided to wind down.
Think
of it this way — when the back door
of an armored vehicle is purposely left ajar by a disgruntled armored vehicle employee, and currency spills
out all over the city streets, instead
of chasing after every citizen that
ran around picking up a few dollars in
cash, it might be a better idea to punish the guy who left the vehicle's door partly open, and also install some automatic device that prevents the vehicle from
starting if the doors are not all secured.
The thing is, if you're a student, you probably don't have a whole lot
of cash behind you and that student loan can
run out really fast, especially when you have a load
of books to buy at the
start of the year, and the lump sum can make it incredibly easy to splurge on nights
out.
I have seen well - capitalised
start - up franchisers blow through $ 500,000 in two or three years, and undercapitalised franchisers
run out of cash before they get off the runway.