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Indicators for closing down your start up
It’s not required that what you start should go on to become the next happening thing, there are many things which are not in your control, sometimes though you have done everything correct and to precision but still things go out for toss.
Though you did run business with forecasting, analysis but still things don’t shape up the way you want so it’s time to rethink lets understand what are possible indicators which indicate you need to close your start-up
Remember it’s not about you giving up or losing it’s all about having understanding that things didn’t work as per you need and it’s not about you being a failure or feeling guilty for not having been successful
The first indicator is your cash flow, which gives you clarity what you earned and what you spent and what is left with you, if this goes negative for continuously 2 quarters it’s time for retrospection.
The second indicator is realization of revenues takes time and during such time its expenses which are eating your profits and when realization of revenue happens it’s as good as zero
The Third indicator is all of sudden sales tend to dip without any reason for which you can have accountability and start corrective measures
The fourth indicator is unable to compete with competitor on pricing aspect and ability to sustain the burn by reducing prices as it’s not monopoly market
The fifth indicator is better products and services coming to market and giving more usability to consumers and drift of loyal customers
These are some of the indicators which give indication for two things either you change or you move out. As we need to understand the saying CHANGE IS THE ONLY CONSTANT
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