Why startups fail – Part 1

Ask someone – especially an accountant, management consultant or an MBA (God forbid NOT all three in one) – “why do startups fail” and in all likelihood they will give you the text-book answer: “because they ran out of cash”. Wow, thanks! Glad to see your $180k education taught you something dude! It’s a bit like asking a doctor “how did he die?” and get a reply “because his heart stopped beating!”

The question of course is “WHAT leads to that point?” Ask them again and they will probably say “Ooooh.. you mean the causes that led to that ?! RIGHT. Bad cash management? Gotta be it”. Imbeciles!continue reading »