You don’t need to be an economist to appreciate the myriad forces placing downward pressure on startups today.
Setting aside the legions of investors keeping their powder dry, is your yearly revenue growing faster than the inflation rate? What percentage of your sales team has experience working during a downturn?
Amidst the angst, there’s some good news: Investors are adjusting expectations to meet the new reality, which means “crisper methods for evaluating success will emerge,” predicts Lonne Jaffe, managing director at Insight Partners.
Instead of chasing growth like a plant reflexively bending toward the strongest light, he says founders should prioritize more meaningful “efficiency metrics,” such as:
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