Reality Check: Surviving Is Always Hard for Startups

By now Sequoia’s “RIP” slide deck and the ensuing blog coverage have been consumed by every entrepreneur and investor in the tech universe. It hit a nerve. Perhaps it provided a wake-up call, or simply confirmed people’s worst fears. For first-time entrepreneurs, or for those who have forgotten what happened just seven or eight years ago, this sort of shock therapy could be effective.
But the bottom line is that it is superbly hard, even in good economic times, to really impact the world with an innovative new product from a small company. The odds are hugely stacked against you. Would-be entrepreneurs and investors alike tend to forget this. They grow complacent when they are bailed out of mediocre situations or make money far exceeding what they deserve. They begin to believe their own BS. A troubling sense of entitlement lulls them into a false sense of security that they are not actually fighting for their economic lives, every minute of every day. It happened during the dot-com bubble and the housing boom, and now it’s happening on Wall Street. Read More about Reality Check: Surviving Is Always Hard for Startups