Today we’re talking about when is a good time to get started on building a new startup.
I like to look at it in 3 ways.
1. The macro-environment
in general, you should not worry about this too much. Although a recession certainly makes it harder for most companies to generate revenue and raise money. It takes most businesses 8–12 years to go public, so the current economic cycle isn’t particularly relevant over the long term.
You need to be really excited about a specific idea or, at the very least, a market. Starting a company is hard — your passion and resilience will be needed to carry you through numerous tough times.
3. Personal runway
You and your cofounders need at least 6 months but ideally 1 year of personal runway before you will need to take a salary. Almost all businesses take more than a year to reach the seed stage, so you need to be realistic about how much cash you’ll require.
Best of luck out there.