Enterprise startups sometimes go on to succeed after a recap. Consumer startups rarely if ever do. The reason is that enterprise startups can have a genuinely good idea and still be killed by the slowness of the sales and development processes.
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Definitely agreed as Elcid Investment has a good stake in Asian Paints of around 4.95%, having no debt at all, sharing regular dividends even then it's selling at just 5.89/share. So, thats an exception case and also the rule of Market....
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Great tip for SAAS products that are planning their distribution and biz dev models. Sales cycle can take 90+ days.
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