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Around 90% of startups fail
🚨 Why Most Startups Fail — And How to Avoid It
Hey there,
We’ve all heard the stats—90% of startups fail. But why does this happen so often? And more importantly, how can you avoid becoming a statistic?
Let’s break down the most common reasons startups crash and burn, and what you can learn from them.
đźš« 1. No Market Need
The #1 killer. Too many founders build products that nobody actually wants. Even if it’s a cool idea, if it doesn’t solve a real problem, users won’t stick around.
👉 Lesson: Talk to users early. Validate the problem before you build the solution.
đź’¸ 2. They Run Out of Cash
It’s not always about funding rounds—it's about cash flow. Many startups burn through money without a sustainable runway or clear path to revenue.
👉 Lesson: Know your burn rate. Build lean. Raise smart.
🤝 3. The Team Falls Apart
Great ideas are nothing without a solid team. Misaligned visions, skill gaps, or internal drama can sink even the best startup.
👉 Lesson: Build with people you trust, and make sure everyone’s rowing in the same direction.
🥊 4. Crushed by Competition
The market doesn’t care if you’re “first”—only if you’re better. Competitors with more resources, better branding, or faster execution can easily outpace you.
👉 Lesson: Know your unique edge, and double down on it.
đź’° 5. Bad Business Model
Some startups never figure out how to make money—or they price themselves out of the market.
👉 Lesson: Start testing pricing and business models early. Make sure the math works.
🧪 6. Weak Product
If users don’t love it, they won’t use it. Clunky UX, bugs, or confusing interfaces drive people away fast.
👉 Lesson: Iterate fast. Make it delightful. Fix bugs yesterday.
📢 7. Poor Marketing
"If you build it, they will come" is a lie. A great product with no visibility is a tree falling in the woods.
👉 Lesson: Invest in brand, distribution, and community—early.
🙉 8. Ignoring Feedback
Some founders are too in love with their vision to hear what users actually want. That’s a mistake.
👉 Lesson: Listen. Adapt. The best products are co-built with users.
⏳ 9. Bad Timing
Too early? The market’s not ready. Too late? You missed the boat. Timing is a sneaky but critical factor.
👉 Lesson: Stay close to trends, but don’t chase hype. Ship when the world is ready.
⚖️ 10. Legal & Regulatory Messes
Especially in industries like fintech, health, or crypto—laws can kill your momentum if you’re not careful.
👉 Lesson: Talk to legal early. Know the landscape.