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Genuinely asking: for startups who were not banking with SVB, is the recent event a good thing from a competitive standpoint?
by notmindthegap 4y ago
Genuinely asking: for startups who were not banking with SVB, is the recent event a good thing from a competitive standpoint?
- muyuu 4y agoprovided their main customer base is not from the area or the sector then it's pretty fantastic for them, especially if they had significant competition in their business model and many of those competitors are now insolvent
- dilyevsky 4y agoImagine half of your vendors/customers are insolvent. Is this good?
- slondr 4y agoOf course, many startups' customers are not other startups.
- School-Cotton 4y agoOn the other hand, many are.
- Lionga 4y agoIn YC it often is. You are almost expected to prop up other YCs companies with your funds. If everyone buys each others services everyone can show their super duper growth and nobody lost anything (except VCs who invest later).
- fastball 4y agoSo if you're B2C (not B2B) and you only have 1 or 2 non-vital vendors that are likely to be impacted?
- nightmarish 4y ago[flagged]
- paganel 4y agoDo all start-ups only sell stuff to other start-ups? If yes, that's their problem right there.
- dilyevsky 4y agoThat’s why there’s a vendor word in my reply
- nightmarish 4y ago[flagged]
- realmod 4y agoExactly. It will be interesting to see who and what gets shutdown in the next 30 days if the issue isn't rectified.
- slondr 4y agoYes, at least in the very short-term, at least to a limited extent.
- Ekaros 4y agoIf your competitors can't pay their employees you can poach them for very cheap if they are desperate to make rent or mortgage payments. So more sensible competitors might even benefit from the stupider ones.