Which startups are going to get vaporized in @pmarca’s “market turn” scenario?

Any company that isn't <em>actually</em> cashflow positive AND has a clean captable (able to survive a halving valuation). You can talk about cutting expenses but that cuts growth and therefore valuation: if your last round had preferences, rachets, etc then you can't cut growth without annihilating the employee/founder ownership.

The good news: in a real market downturn, your can play hardball with investors (threaten to quit, since unless they recap the equity to motivating for employees) and employees (who have fewer employment options).

<p>This doesn't answer your question, but it's a great post about startup burn rates: https://medium.com/@DanielleMorrill/is-my-startup-burn-rate-normal-882b2bd20f02</p>

<p>In my last company, we had six people and our burn was approx. $40k/month.</p>

<p>Would love to hear on here what others are burning.</p>

Judging by the sheer volume of bullshit out there, most of them. Most startup investments are high-risk high-reward plays to investors, which is another way of saying that they most likely have little confidence in your company.

Over hired and staffed companies.

Beyond the burn levels, this reflects on founder level business judgement.

Not all markets are winner take all + access to capital is no sure thing.