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Not Everything Can Scale With Just Money
Why most startups fail, from an analysis of 90 case studies
So I analyzed 100 startups from around the world, 90 of which failed, and summarised the 8 main lessons I learned from that study in a previous article. In this article, I’ll talk about the biggest, most notorious reason (from my point of view) why startups fail.
If you’re immersed in the world of entrepreneurship, you may have heard that an estimated 90% of startups fail. I don’t know how accurate that number is, but it’s probably not too far from the truth.
Anyways, when reading up on why startups fail, you’ve probably always found a bunch of hackneyed reasons, most notoriously:
- Running out of funding
- Poor product-market fit
- Poor financial management
- Wrong timing
All of these sound like convenient excuses, sometimes applicable, but never really painting a clear picture of what really went down.
As a startup enthusiast myself, I got curious about why startups have such a high failure rate. So I sought answers by going through a few of the case studies I could find online.
