I highly recommend reading the article that I’ve linked to below. I wish more people would write about their lessons learned after their start-up goes belly up. Failure in the start-up space is inevitable, but we may be able to help others avoid our mistakes if we take the time to write about them. Additionally, I think writing about their failures will reinforce the lessons learned to the failing founders so that their next venture has a better chance of succeeding.
But I must say, their lesson learned #9 really bothers me. Not having a financial model in place to truly understand your business is inexcusable! It’s very easy to do! You don’t need to be a whiz with Excel either. I’ll be sure to write a post soon about some basic financial modeling methods.
Here’s the article: Tab: Startup to Shutdown