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Why Working For A Startup Company Could Be Dangerous

by JC, published: 2010-09-30 06:48 viewed: 185 times
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So, here is another startup company that has failed and left its employees in the dust. It is another good lesson for any software engineers that are in the process of finding the next dream job: don't go for the money (job salary, stock option, benefits), but instead, when looking for jobs, focus on the company's fundamentals and business model. If you feel like the business model is not viable, don't sign up and work for that company, period, no matter how high the salary/benefit could be.

When looking for a good company to work for, ask the question: how does the company generate profits? Is your work contributing to the company's bottom line of generating revenue?

As for my opinion on startups, they are very flaky as they might not have a good business model yet.

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Last week Cuil, the search engine that wanted to be the Google killer, went offline. Cuil went down after last minute acquisition talks failed. They said "Cuil was in the final stages of an acquisition as of last Wednesday, and everything was in place except the final signatures. Then the deal fell apart for some reason." The day after, Thursday, employees were reportedly told to pack up and then later on in that day the servers went offline.

It is believed the service may go back up online again so they can lure a potential buyer of their algorithms, index and technology. But is is unclear as to how cool Cuil's future will be.
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Comments (2)
1. yuuniverse4444 2010-09-30 00:02
high risk, high return, depends on preference.
2. JC 2010-09-30 06:48
Yes, you are right. I think in this economy, working in a startup is very risky. Maybe after 6 months when the economy turns around, it is worth it.
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