Only the Fittest Will Survive This Downturn
Silicon Valley was all a flurry late last week after reports that some respected venture capitalists woke up from their rosy daydreams to the fact that Wall Street’s meltdown is going to have a big impact on their future. Was it really necessary for these VCs to write memos, or as Sequoia Capital did, summon the CEOs of their portfolio companies to an emergency meeting at their Sand Hill Road lair? Some of the messages seemed to be no-brainers, such as “cash is king,” “lower your burn rate” and “if you are not cash-flow positive, get there now.”
