Lessons Learned from Shutting Down a Startup in Childcare Industry - Avni Patel Thompson of Poppy with Kat Manalac
This article is a summary of a YouTube video "What Shutting Down Your Startup Feels Like - Avni Patel Thompson of Poppy with Kat Manalac" by Y Combinator
TLDR Transparency, experimentation, and thoughtful decision-making are crucial for success in the challenging industry of childcare, even if it means making difficult choices like shutting down a business.
Poppy, a childcare provider connecting service, shut down due to economic unviability in a challenging industry that requires experimentation and adaptation to make decent profit.
Poppy CEO's monthly updates showed solid but not exceptional growth, founder experimented but ultimately decided to shut down due to dwindling runway and explored acquisition and partnership options.
Founder had to abandon acquisition plans and ultimately decided to shut down the business due to limited options and resources.
Founders must prioritize transparency and regular updates to maintain investor trust and navigate potential failures, even if it means making difficult decisions like ending a project.
The speaker grieves the loss of their company, but is not done with trying crazy ideas and sees pivots as what trying looks like, while acknowledging the concern for their well-being from those closest to them.
The speaker raised $2M from various investors and is passionate about solving problems for working parents, but is not planning to start another company and is exploring various interests.
Setting goals and structure can help with productivity, leading with kindness can facilitate difficult conversations, and Poppy's closure was due to the founder's mission to find solutions for millions.