VC funding & Co. were never an option if the startup is not very wise financially. If the business does not work, at one time the cash pump will disconnect, Fast.
It bugs me to see people having the habit to solicit funds without a clear monetizing plan in sight. If someone is just providing a great service and that’s it, it’s not enough. Hope that investors are not only investing because ‘they believe in the product’.
With the poor financial knowledge I have, it’s clear that if you don’t have a good plan for profit, it’s not going to work. Hiring like crazy for the sake of it works not.
And people always wonder why the balloon popped.