This, think companies going out of business left and right. Not 5-15% layoffs after the company doubled or tripled in size over 2-3 years.

Almost no one I knew worked right through it without being impacted, and some people had huge impacts. I worked as a contractor for 2 years afterwards before getting back into a startup. I knew some people who were out of work 6 months or a year and came back with huge pay cuts.

Tons of people I knew ended up with furniture and servers in their house they took when the company closed and management/investors didn't want any of it.

I got a desk and a nice office chair that way.