It seems like the VC/ startup community is blowing up over this “Black Swan” post by Sequoia.
In reality, this is a pretty level headed memo. Especially if you put that against their RIP Good Times deck.
The large points are:
- Ensure you’re not running fat
- Prepare that your business model is about to get stress tested
- If you’re in the process of raising, rethink your possible burn-rate and cash on hand to push out (or speed up) and avoid a possible down round
- And lastly – don’t run beyond your own fundamentals!