How do you handle startup failure? (2024)

I dislike this machine-created list. Number one: CUT LOSSES, review how you can support your employees in finding new jobs. Organize sale of assets, pay debts & return funds to investors. IF YOU CAN AFFORD IT, take time off. If you cannot afford it, find a temporary job to pay your bills. Then slowly ease into understanding what could you have done differently. Sometimes, you could not have predicted certain circ*mstances (who could have predicted covid, for example?). Be kind to yourself, and have some early, small indulgences... a walk around the block, on the beach, etc. You don't want to move on from the past, you want to learn from it, and sometimes it takes a while to separate firm failure from personal failures.

In my experience, failure 😨 is not a unified concept that precludes anger, guilt or depression. In addition, the 50 shades of failure are closely intertwined with the concepts of Time & Money. The real question startups need to ask themselves and answer is, “Do we know how to fail fast and fail cheaply?”Once they know how to do this, they are more than ready to embrace the 50 nuances of failure and start playing a winning game. I am happy to offer trainings to startups who are interested. Get in touch.

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It sucks. You feel like you let yourself down, your friends and family, investors etc. There is no easy way to deal with it unless you know you tried everything and it just didnt work out.It's really hard when your reality and life is your startup - all you ever did/talked about for the last few years.Take time off to decompress, write about it and talk about it with others. You're 110% not alone and I know so many founders who take comfort in talking with other founders.

At this juncture, it became crucial for me to assess whether the factors that played a role in the failure could be channeled positively into a different project. I strongly dislike dwelling on hindsight and engaging in the "what if I had done that" game. My preference leans towards a pragmatic approach – identifying the contributing factors, scrutinizing their relevance to the failure, and determining if the manner in which these factors were employed might have led to the unfavorable outcome. Moreover, it's essential to explore the potential for leveraging these factors in a constructive manner for future endeavors rather than fixating solely on past missteps.

I find accepting failure to be a skill. Those who succeed, have multiple failures under their belt. What makes them different from the others who don't make it in the long run, is the skill of accepting failure and then learning from it, dispassionately. Step back, let go of the first knee jerk reactions to failure, and study what went wrong and - as importantly- what went right. Ask others. Solicit feedback aggressively. Especially from your friends, colleagues and team. They'll know best. One has to crowdsource feedback, there is really no alternative.Lastly, knowing what went wrong takes the sting out of failure. There is nothing worse than going round and round in your own head wishing for a better outcome.

Facing startup failure is tough, but it's essential to handle it constructively. First, analyze the reasons behind the failure—was it market fit, execution, or other factors? Take responsibility for your choices and seek lessons from the experience.Maintain a positive mindset. Connect with mentors, advisors, and peers to gain guidance and emotional support.Evaluate your options. Consider pivoting your idea or exploring new avenues using the knowledge you've gained. Prudent financial planning is crucial. Cut unnecessary costs and stabilize your finances to weather the aftermath.Transparent communication is key. Be open with stakeholders about the situation; this honesty could lead to potential partnerships or collaborations.

Absolutely! Self-compassion is also important but often missed. Being kind and compassionate towards oneself during such challenging period is crucial. It is important to recognise that failure is not indicative of one's self-worth or abilities. Practicing self-care activities will help one to manage stress and maintain overall well-being.

Delivered effectively, feedback represents an invaluable learning opportunity for entrepreneurs. It's akin to receiving free advice – a clear, unfiltered perspective on what aspects of your services or products resonate with customers and what aspects do not. Within our own company, for instance, client feedback revealed a lack of clarity around utilizing our consultancy services. As a result, we adapted our consultancy process to incorporate post-project navigation and guidance services. This offers clients ongoing support in practically applying the deliverables, reflecting our commitment to enhancing customer experience.

An example I Have seen is a company in Blockchain space.A Defi company aiming to build a decentralised exchange raised 2.5 Mn used over a whastapp message (thanks to Bull Market). But soon over the next one year, realised that along with Tech Liquidity is the biggest challenge. And due to lack of experience in BD, they crashed. However the founder was resilient do he and his team (lean culture helped him to avoid firing) came back to their advisors for feedback and realised that their strength is building scalable tech stack. Eventually after 2 years, built a B2B solution that's scaling up really fast now. So analyse, take feedback and most importantly accept and celebrate the failure just like you do with success.

Exploring new opportunities after startup failure is like discovering a whole new game level—it's about finding fresh challenges and exciting possibilities. Look around for different paths or ideas, much like exploring new areas in a game. Consider what you've learned from the failed venture as valuable experience, similar to gaining skills in a game that help you in the next levels. It's a bit like unlocking new features; exploring new opportunities allows you to adapt, grow, and find a game strategy that suits your strengths, just like navigating through the entrepreneurial landscape with renewed vigor and knowledge. Remember, in the game of startups, each opportunity is a chance for a comeback and a shot at a higher score.

1st step: start a 'morning routine' and make sure to include some form of physical exercise. If you already have one then start an 'evening routine' with a non-negotiable writing part, mostly free-flow writing style, it works, believe me. Tips: - follow your routine, at least five days a week - make sure you hit 75% of routine tasks2nd step: think of 'three key skills' that you as a co-founder or as a core team member developed only because you were part of this business. 3rd step: too much positivity can be toxic, especially after failure. Now, it's time to take care of your finances along with answering this one big question:How can I leverage the experience of leading a startup in my next professional or entrepreneurial endeavor?

Many believe we become what we think about.Keep engineering the vision of what it is you genuinely want. Desire is the starting point.Napoleon Hill said "Man's only limitation, within reason, lies in his development and use of his imagination." You have six intellectual factors that, when understood, developed and harnessed, will give you everything you need to create what it is you genuinely want.Every health human being is blessed with a marvellous mind. It's the most powerful asset anyone has. It came to us free, but it didn't come with an operators manual.If you want to mitigate risk of not hitting the mark in the future, invest in yourself. Develop your understanding the power of your mind and the truth of what you're capable of.

Having failed in my first 4 businesses before existing my next 3 successfully, I know first hand just how important it is to have the right mindset. For me dealing with failure all comes down to having a big enough reason why. The impact I want to make and the legacy I want to build is so grand that I don't actually think anything can get in my way. I would have to be incapacitated in order to quit. In saying all that I do believe that it's about failing forward intelligently, learning from every experience and understanding that the game we call business is like a roller coaster. They'll be ups and downs along the way, the key is to focus on the journey and the person you're becoming in the process more than the destination itself.

Startups fail due to multiple reasons, internal or external. However, if you had put your best into the previous venture, you have actually not failed: you have learnt. And what you learnt, the technical knowledge and the network you gained, all this is you new "networth", that you can leverage on in a new endeavour. And so you should! Because now, you're worth much more than before, so your probability of success has increased.I wish you success with your next startup!

When you're on the entrepreneurial road, it's totally normal to think about throwing in the towel sometimes, and trust me, I've been there. I've had my fair share of failed ventures, and each one knocked me down a bit. But here's the thing: every time I failed, I learned something. It's super important to remember that hitting a rough patch and feeling like quitting is just part of the game. It's these tough moments that really test your grit and teach you the most. Sharing these personal ups and downs can be super helpful and relatable for others who are riding the same rollercoaster. Bottom line, every mess-up is actually a step forward, teaching you something crucial for the next big win.

As with many things in life, it is about resilience and the learning process.- Acknowledge that it didn't work as planned. I know many startups that keep going even if they are already deep in the hole.-Reflect on what went wrong, product market fit, time to market? Team? Investment?-Identify what you could have done differently and how you can apply these lessons.-Seek advice and feedback from your team, investors, and customers... -Take a Break; dealing with failure is emotionally draining. Recharge and regain perspective.-Plan Your Next Move. Successful entrepreneurs faced failures before they found success. It is just a stepping stone towards success. "I have not failed. I've just found 10,000 ways that won't work." Thomas Edison

I have co-founded or been the CTO of at least 5 startups. And yes, some have failed. My formula for handling startup failure is quite simple. Did I do my part to make it successful? Did my co-founders do their part? Was it the right time? Was it the right idea we were executing on? Did any outside influences fight against our success? After adding it all up, if I feel good about the answers, I just move on to the next. It is always better to use your energy building something you think will be great than to waste it languishing over something that wasn't.

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