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Biswajeet Sen

Founder & CEO | Fits... • 1m

Why Do Startups Shut Down? Here are the most common reasons (from multiple studies like CB Insights): 1. No Market Need (35–42%) The product or service doesn’t solve a real problem or nobody wants it. 2. Ran Out of Cash (30–38%) Poor financial planning or inability to raise more money. 3. Wrong Team (20–23%) Lack of skills, conflict among founders, or weak execution. 4. Outcompeted (19–20%) Bigger or better competitors take over the market. 5. Pricing/Cost Issues (15%) Product too expensive, or margins too low to sustain the business. 6. Poor Marketing (14%) Couldn’t reach customers or misunderstood the target audience. 7. Product Problems (13%) Bugs, poor user experience, or not meeting customer needs. 8. Lack of Business Model (10%) No clear way to generate revenue or scale profitably. 9. Legal or Regulatory Issues Especially in sectors like fintech, healthcare, or crypto. 10. Burnout or Founder Disputes Mental health issues or conflicts within the founding team. What do you think about this?

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