Startup Funding Failure

Comments discuss a startup that raised significant VC money but burned through it due to high costs, inability to scale or meet revenue targets, down rounds, and failure to secure more funding, leading to its decline or shutdown.

📉 Falling 0.4x Startups & Business
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#365
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Keywords

SPAC AI FINAL WeWork IPO Q2 OSS TLDR businessinsider.com FINAL.pdf money company cash investor funding quarter runway ipo vcs ran

Sample Comments

forthispurpose Oct 16, 2018 View on HN

Sounds like a case where the startup just overvalued itself and couldn't deliver?

frankfrank13 Jun 12, 2024 View on HN

TLDR; they couldn't raise enough money to scale and keep going

bredren Nov 9, 2018 View on HN

They raised too much money, had a down round and have been on the ropes for some time. This is what happens.

dyno12345 Apr 26, 2024 View on HN

I think they raised a bunch of funding at one point and then ran out of it

JohnJamesRambo Nov 2, 2019 View on HN

Your awesome experience was subsidized massively by investor money and couldn’t last, unfortunately.

ktpsns Nov 8, 2020 View on HN

Same question here. I guess it was used up. But: There was a hype, why didn't more money come in? Was this a flopped startup?

swingbridge Mar 28, 2016 View on HN

The business model is broken. Surprised they managed to raise more funds at all.

swyx Aug 12, 2023 View on HN

yeah def not the whole story being told. this wouldve at least been a nice acquihire for somebody if it were a valuable business. if this founder ran a 7 figure business into the ground with no cash shortage pressure he cant blame VCs for that.

brudgers Jun 2, 2015 View on HN

I sympathize with you in your misfortune.From the other side of the internet, this looks to me like the ordinary way in which startups die. With one investor plan B was by default folding the concern. With the money coming in monthly rather than sitting in the company's bank account there never really was more runway than there is now.Unfortunately when a company is in trouble securing funds on good terms becomes highly improbable. Securing funding on bad terms makes the death of a s

an_guy Nov 21, 2024 View on HN

Promises can be broken. When they run out of VC money, We will see how they will keep it profitable.