Top 4 Reasons Funded Startups Fail: An Angel Investor’s Perspective

Key Insights for Aspiring Entrepreneurs

Eric Fung
6 min readJun 5, 2024

Investing in startups is a high-stakes game, often akin to navigating a minefield. As an angel investor, I’ve seen startups with substantial funding falter and fail, despite their seemingly strong financial backing. It’s a perplexing scenario that prompts an in-depth examination of the underlying causes. Why do these funded startups fail? From my experience, the top four reasons are: running out of cash, having a non-viable business model, failing to…

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Eric Fung

Tech & Growth Enthusiast | Draper Network | Co-founder www.globalify.xyz - search engine - helping founders raised capital for startups 🚀 | 🇨🇦🇭🇰🇯🇵 | 🦇🔊