Welcome to my new series of posts: Startup Perils.
This series is inspired by a new tumblr Brad Feld posted about: My Startup has 30 Days to Live, a blog I can thoroughly sympathize with.
The simple fact of the matter is that more startups fail within their first five years than succeed. Not failing is actually a lot trickier than you might expect, despite your best intentions.
Here’s some data to back up that statement, fresh from the U.S. Bureau of Labor Statistics:
If you are an entrepreneur, you’re most likely a “glass half full” kind of person. So you probably look at that chart and think “Gosh, a lot of companies survive, don’t they!”.
Let me redraw that chart for you from a slightly different perspective…
Based on real data, 50% of your companies will be dead within 5 years. That means that half of you that think you will be successful are dead wrong.
Over the next few posts, I’ll share some of the Startup Perils I’ve seen first hand. I would say “learned from”, but then I probably wouldn’t still be working with startups if I had truly learned my lesson.