4 ms·
Ask HN: If the 'Startup Bubble' Does Burst, What Happens to All Those Assets?
If the countless number of startups that are not able to raise the next round of funding to keep the doors open are forced to shut down, what will happen with all of their assets (software, codebase, client data IP)? Are their efficient routes for startups sell these assets at market rates?
- smt88 10y agoThose assets aren't often considered to be valuable and will be liquidated at low prices, if they can be sold at all. The value of a company is its client base and revenue stream. If those are not for sale (or never existed), the company will be worth close to zero. Very advanced software might be an exception, but most startups aren't creating cutting-edge stuff.
- ramtatatam 10y agoSome startups might escrow some of their code... but will this mean anything to anybody (apart from Software Escrow companies)? I don't know :-) (probably not since if it meant anything to anybody such startups would not fail, would they?)