It’s no secret that start-up funding is down in 2024 as investors weigh in on the AI hype cycle. In the current economic climate, where funding is tighter, and investors are more cautious, startups seeking venture capital face rigorous scrutiny. Due diligence becomes a critical phase, where potential investors dissect every aspect of the business...
For startups with less than nine months of runway and less-than-clear product market fit, pursuing a parallel path of mergers and acquisitions (M&A) alongside fundraising allows founders to feel like they can travel towards two paths with both as viable options. This dual approach provides flexibility and increases the chances of securing the necessary resources...
I noticed a missed call and voicemail on my phone: a client called me back. I immediately listened to her message, “We haven’t had a response to our email in over a week!” An angry message solicited by Yours Truly. I immediately called back, knowing exactly what to say. “Pam, I understand that she’s not...
Tina, an intrepid founder with a software company, just received an offer from a big tech company for her start-up. In earnest, she asked me many questions about the contract, especially about a clause with earnouts. “All these KPI’s and numbers, are they achievable post-acquisition? I thought I’d sell and be done.” “Not so fast,”...
In the dynamic and often unpredictable world of startups, maintaining a healthy cash flow is crucial. One key component of this is managing accounts receivable efficiently and effectively. The goal is to ensure that you, as a founder, can recover debts in a manner that preserves customer relationships while bolstering your company’s financial health. Understanding...
In times when you’re constantly running out of runway in the dreaded zone of insolvency, and as a founder, you feel like making payroll is an impossible obstacle course every two weeks, understanding and managing every aspect of your startup’s cash flow and sales becomes a matter of survival. This is where a waterfall analysis...
Welcome to “Evaluating Your Startup Financial Health,” a four-part series where we dive deep into crucial financial strategies for startups. In this series, we’ll focus on making substantial financial cuts, vigilantly monitoring every dollar, and accelerating Accounts Receivable collections. In this first part, we tackle the critical task of stabilizing your startup’s cash flow. This...
Early in my career, I was lucky enough to experience the rise of the PC in Silicon Valley. I worked for a company called Optimal Communications, a phone company being launched with the likes of The Macintosh. At the time, Kleiner Perkins and IVP had invested, eager to join the PC race. On the finance...
As a Chief Restructuring Officer, I’ve seen many startups face the harsh reality of extended sales cycles, especially in challenging market conditions. Understand this: the strategies that brought you here may not get you through the next cycle. In times of economic uncertainty, both large and small companies tend to deliberate longer before making purchasing...
As a Chief Restructuring Officer, I understand the panic that comes with a startup struggling to stay afloat when they’ve got six months left of runway and are unsure if they have product market fit. It’s natural to feel overwhelmed, but it’s crucial to recognize that the strategies that brought your startup to this point...
