Mike Seidle ...notes from the road

Ever wonder why most startups fail?  They usually meet up with one of the four horsemen:

1. Overestimation of demand. Turns out no one wanted you whiz-bang change the world internet-connected superconducting toilet paper holder.

2. Inadequate cashflow or availability of bridge funding. Either didn't have enough or couldn't keep it when you got it. Oh, and overestimating demand compounds this.
3. Bad people. That secretary that embezzled $45,000 didn't help with #2 and the marketing guy that estimated that you would sell 5,000 units in December didn't help with #1.
4. Bad marketing. This results in #1 and #2 showing up with a baseball bat and brass knuckles. It can also give cover to bad people by creating a scapegoat to cover poor performance.

More often than not, Horseman 3 and 4 sneak in and expose you and Horseman 1 and 2 come in for the kill.  For entrepreneurs, you have to be very weary of bad people and bad marketing as they are usually the warning that a really serious problem is right around the corner.