Letter to Myself in Late 2008

Re:Letter to Myself in Late 2008 by sg_gabriel on Wednesday March 25, 2020 @05:32PM (#22688705)

>"But he talks about having plenty of cash"

I think he's talking in absolute terms versus relative terms that founders are used to thinking in.

Imagine that you have $3 million in runway, but you are burning $500K a month. That only gives you 6 months of runway.

It takes perspective to zoom out to realise - "Hey, I actually have $3 million in the bank. That's a lot of money. If I can somehow reduce costs to $150K a month, I actually have 20 months of runway to figure things out."

Unfortunately, this means "cutting more than needed".

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Re:Letter to Myself in Late 2008 by digitaltrees on Wednesday March 25, 2020 @06:22PM (#22689042)

Exactly. That survival will be better for everyone, even those you have to lay off because you can build from there and likely hire some of them as things stabilize.

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