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TechCrunch has a lot more details: https://techcrunch.com/2020/03/27/bird-lays-off-about-30-of-workforce-amid-covid-19-pandemic/ https://techcrunch.com/2020/03/
by kevindong 7y ago
TechCrunch has a lot more details: https://techcrunch.com/2020/03/27/bird-lays-off-about-30-of-workforce-amid-covid-19-pandemic/ https://techcrunch.com/2020/03/27/bird-lays-off-about-30-of-...
> According to a source, Bird’s balance sheet is strong but it needed to reduce burn in order to extend its runway into 2021.
I would not describe a ~9 month runway as "strong".
- paxys 7y agoWell compared to all the companies that claim they cannot last through the lockdown it is.
- gumby 7y agoFor the first couple of years of my first bootstrapped company I tried to keep “cash in the bank” in excess of 3 months. Everybody knew. The one time (after the first six months of transient jitter) it dipped down close to two months everybody knew, and nobody quit (headcount at that point was about 60). So 9 months seems pretty good. Though perhaps they are/were on the “don’t worry about the burn we can always get more” plan. In that case 9 months does sound perilous....though perhaps many people who couldn’t make car payments will become customers?
- freepor 7y agoWell it's strong until it's not. Tons of businesses run on 1-month commercial paper and other stuff that they just plan to roll over and roll over until one day things change and they're completely fucked.
- tsss 7y ago9 months of runway with 0 income is a lot, especially for a company that size.
- generalpf 7y agoIn the email he says “end on 2021” which is 21 months.
- edanm 7y agoWhat would you describe as strong? How much money should companies be hoarding in everyday situations? (Not to mention that Bird is specifically a startup, which is a company meant to run on investments at this stage.)