Here is a simple startup survival plan that is easy to understand and quick to implement. Being honest to yourself is probably the biggest hurdle.
Humble Up
- Ask yourself is your venture truly viable and valuable?
- Be honest and transparent with your teams about the cash in the bank and runway.
- Question the frills – expensive digs, Kombucha on tap,
Hunker Down
- Create a runway for 12-month of operations without additional funding.
- Cut costs where possible without affecting growth.
- Instead of en masse layoffs are there creative ways to do reduce the burden but also consider the human costs and societal costs.
- No new hiring except overseas and possibly for Sales/Biz Dev.
- Embrace cheap/free marketing avenues and partnerships.
Hulk Up
- Focus on product differentiation
- Build defensible IP
- Strengthen product core at a foundational level
Horizon Plans
- Create plans for different waves:
- Horizon 1: While under COVID-19 Lockdown: 1-3 months. How will we generate leads and continue to make progress on the product?
- Horizon 2: Post COVID-19 Adjustment to New Normal: 3-12 months. What is the impact of CAPEX spending cuts by businesses and high unemployment and underemployment among consumers?
- Horizon 3: Post-vaccine/remedial cure: 12-24 months. Will a vaccine or a remedy/cure change the game. Do you have the wherewithal to survive until then?
NOTE: Please share your own simple startup survival plan. Please follow government guidelines and review authoritative information sources. Please also explore if you are eligible for any of the government programs administered by the SBA.