Mary makes a good point that CFOs have to be more vigilant in this market. But there are two good news to note:
- the fact that there may be opportunities out for sale only because some businesses are out of cash, so they become prey to larger corporations that made big savings in the economy downturn, is not to say that these companies represent a risky bubble as in previous times;
- there is new life in the M&A market, which is reinvigorating for many startups (it represents a clearer exit strategy), or provides a motivation for good new ideas to bloom into startups.
And, dear Mr. CFO, do not look too much down on startups just because they may be cash-strapped, some maybe really cool but hit the market in its downturn – 3 years business plans may turn into 5 years now, but still generate good profits:).