Startups burning through their cash are feeling the squeeze as they contemplate their options for raising additional capital.
Many companies are turning to layoffs and other cost-cutting measures to extend the runway before they run out of money. Beck expects that to continue. “The market got way overheated,” Chambers said at the TechSurge Summit at Mountain View’s Computer History Museum Feb. 13. “We tend to forget about every 10 to 20 years our lessons learned that would repeat from the dot-com bust.”Madison Reed recently borrowingStartups preferred raising equity capital in recent years when financing terms leaned heavily in favor of entrepreneurs, but no more.
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