How startups should die - 42Floors
Eric Nakagawa stashed this in startups
We could have sold our customer data too. We knew it was wrong and it was never considered an option.
When in a tail-spin do this:
Share your finances openly with your team
- They already know something's up. Give them breathing room and time to act accordingly.
Communicate more to your investors, not less
- Don't go dark. You'll need their help if you try to get acquired.
Pass the Hacker News test
- Don't be a dick. Someone will write about you either way.
Pay everyone in full
- Don't screw your vendors or employees out of the $ they've earned.
Pursue interesting acqui-hires
- This one is a tough one, you need to start shopping the company well before you think you need to. Once you're out of money your company is worth pennies on the dollar.
I love the advice "don't be a dick". Useful in many situations.