This tragic story of insufficient planning is just another example from the Department of Not-Beginning-With-The-End-In-Mind. So many entrepreneurs get all “over the moon” about getting launched and off the ground that they ignore thoughts about their exit strategy. What do they want to get out of the business? How will they exit? Will they sell the business or will they want to bring in investors (as was the case here)? If that’s the case, what might be some of the obstacles to accomplishing that goal?
As Ryan Roberts reports about these “Shark Tank” losers (kudos for Ryan; I spend my spare time watching NCIS), they had intellectual property that was a vital part of the business. But the owners of the company (and the company itself) didn’t own the IP outright. No IP, no meaningful business. No meaningful business, no investors. Back to the drawing board.