Not a day goes by without another company announcing lay-offs. Big companies, small companies, tech companies, non-tech, etc., etc.., etc. Just a few hours ago, Deutsche Bank adjusted the price target for General Motors to $0. Never a dull moment, who knows what tomorrow brings.
There are plenty of people dishing out advice on how to survive this crisis… so I thought to give a pointer of my own to those entrepreneurs that still monitor my not-so-active blog…
Spend every dollar (or shekel) as if it were your own.
Many people have repeated the famous lines “Cash is King”, “make sure to have 24 months of cash in the bank”, and so forth. Rarely does a start-up raise enough money for 24 months of operation, so I think that is a slightly unrealistic approach, but sounds good. As for Cash is King, it’s always true, crisis or not.
I believe in keeping things simple. Believe me, if you were spending your own money, you would probably do things differently. Anyhow, just food for thought from an ex-VC, formerly on Sandhill road.
And another advice or observation,
Normaly the hi-tech sector refrains from hiring people for less than full time positions.
workers on the other hand, which use to get paid nicely, sometimes, lack the free-time more than they lack the extra money.
We are begining to see a change (toward sanity) , where companies agree to hire people for part time, in order to conserve money in these crisis eras.
i may add, that sometimes these part time employees produce the same amount of results as when they work full time.
food for thought ..
Posted by: amit | November 11, 2008 at 12:35 PM