of the companies fail in less than 10 years

of the companies fail in less than 5 years

of the companies fail in less than 2 years

Value destruction

Companies that grow more efficiently create value. More Revenues. Better Margins. Better Capital Efficiency. Usually, when any of these metrics worsens or is expected to get worse, ventures and companies financial value is reduced.

Liabilities to entrepreneurs

Entrepreneurs’ extreme commitment to the future of the ventures and companies brings with many risks. Among them, debt and tax payments default, which can take time to be settled, divert focus and become a big emotional burden.

Jobs lost

Ventures and companies with declining growth do not hire many people and, frequently, they start firing people. People may have to job-hunt, even if they really like the place they work.

Talent careers setback

No growth means less opportunities and learning experiences for the talents of a company. Both of them are great sources of frustration and constitute reason to search for new challenges in other places.

Slowing demand to partners

Stagnant or low-growth ventures and companies decelerate the entire supply chain. They buy less and stop developing CAPEX projects, contributing to reduce the investments of suppliers.

Less resources for Innovation

Without proper cash flow, ventures and companies can end up cutting investments in R&D. By reducing expenditures in R&D, they jeopardize their future.