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An eChai library

FailCode

Founders on what did not work out, in their own words.

Every account here was written or told by the person it happened to, and links back to where they said it. Nothing on this page says why a company failed. That is not ours to say, and the founders say it better.

  • 116 founder accounts 84 of them published by the founder themselves
  • 11 subjects from running out of cash to a channel that closed
  • 80 companies named each with what it was, in its own words
  • 49 resources research and talks on why companies fail

Jump to the subjects, what plays here, every account, the companies, or where these come from.

Watch and listen

49 talk and interviews that play here rather than opening somewhere else.

YouTube (Harvard Innovation Labs) About failure

Why Startups Fail (with Tom Eisenmann, Harvard Business School)

Eisenmann studied a large set of real startup post-mortems, so this talk turns 'no market need' from a cliche into concrete, memorable patterns you can actually watch out for. He is honest that the most common killer is building something before confirming enough people want it, which is exactly the trap that sinks the first-customer stage. Use it to recognize the shape of the mistakes early, while they are still cheap to fix.

Watch on YouTube ↗

Y Combinator (YouTube) About failure

The 5 things that kill startups after their seed rounds

Michael Seibel ran Y Combinator and has watched roughly 70 percent of companies that raise on demo day never find real product-market fit, so his list of what kills them is postmortem-grade and concrete. He names the quiet ones first: fake product-market fit and building the company (hiring, offices, process) before you have built a product people want. Treat it as a checklist to run against your own startup, not a set of rules.

Watch on YouTube ↗

Y Combinator (YouTube) About failure

The Biggest Mistakes First-Time Founders Make

Michael Seibel has watched thousands of early teams up close, and here he walks through the patterns that sink first-timers, including pouring months into building something before checking that anyone wants it. For a first-time founder it helps you hear the warning signs in a real voice rather than a checklist, so you recognize them live when your own build starts drifting. It is broad on purpose, which is useful when you are still learning what "wrong thing" even looks like.

Watch on YouTube ↗

Lenny's Podcast (YouTube) About failure

Lessons from 1,000+ YC startups: tar pit ideas and pivoting

Caldwell has watched thousands of founders and can pattern-match the ideas that quietly stall for a year before anyone admits it. He talks through how to tell a slow-but-real start from a doomed one, and when persistence becomes denial. Useful when you already have an idea and need an outside read on whether to keep going or pivot.

Watch on YouTube ↗

Start where you are

Readers arrive with a situation rather than a company name, so the way in is by subject. Each one is filed from what the founder said it was about.

Every account

No market need 10

Ran out of cash 11

Outcompeted 3

Pricing / unit economics 6

Product / execution 2

Legal / regulatory 4

Burnout 5

Scaled too soon 4

Pivot / focus 4

A channel that closed 2

The round that did not land 4

Written on eChai 3

Not yet filed 58

These state no cause in the founder's own words, so nobody has filed them.

Written about failure

Research, talks and teardowns on why companies fail. Not first-hand, which is why they sit apart from the accounts above. Most are already curated elsewhere on eChai and carry the note written when they went in.

YouTube (Harvard Innovation Labs) About failure

Why Startups Fail (with Tom Eisenmann, Harvard Business School)

Eisenmann studied a large set of real startup post-mortems, so this talk turns 'no market need' from a cliche into concrete, memorable patterns you can actually watch out for. He is honest that the most common killer is building something before confirming enough people want it, which is exactly the trap that sinks the first-customer stage. Use it to recognize the shape of the mistakes early, while they are still cheap to fix.

Watch on YouTube ↗

The Startup CEO Show About failure

Why Startups Fail Due to Co-Founder Conflict and How to Fix It (with psychologist Matt Jones)

A market-size fight is rarely just about the numbers, it is often power, recognition, and who gets the final say wearing a spreadsheet as a costume. Psychologist Matt Jones, who works with founding teams and wrote The Cofounder Effect, walks through how to have the disagreement without damaging the relationship: contain the conflict, use non-blaming language, and translate the operational dispute into what is really going on underneath. Listen to this before your next hard conversation so the argument stays about the market and not about each other.

Read at markmacleod.me ↗

Inverted Passion About failure India

2024 Wrapped: Shutting Down Nintee and Returning Investor Money

This is the rare honest, first-hand Indian founder account of engineering a soft landing instead of a hard shutdown, with the actual mechanics named. Chopra (Wingify/VWO founder) wound Nintee down after the hypothesis failed, returned roughly 75 percent of the raised capital to investors, gave every employee 6 months of severance, and made an open offer for the whole team to join Wingify at the same salary. It is the concrete version of the opinionated answer: cover your obligations, land your team good jobs, and everyone leaves on good terms so you keep your reputation for the next one.

Read at invertedpassion.com ↗

Inc42 About failure India

From Burn To Breakdown: 25 Startups That Shut Down In 2025

This is the India-specific companion to the theory: a plain accounting of 25 Indian startups that folded in 2025, with the actual reasons (capital crunch, weak unit economics, losses that outran revenue growth, an inability to raise the next round). It makes the growth-at-any-cost and discount-driven trap concrete with names like Otipy, BharatAgri, and Blip. Useful for founders building in India who want to see how these mistakes play out here, not just in a Silicon Valley essay.

Read at inc42.com ↗

Entrepreneur India About failure India

Depression, Fear, Failure & Isolation: The Other Side Of Entrepreneurship

This is the Indian version of the exact spiral the question is about, in founders' own words. Purushartha Saini (IIT Bombay, Pracman) describes how repeated startup failures collapsed into I will fail at everything and I was born to get defeated: the metric became a verdict on the whole person. It is honest, first-hand, and names how a mentor helped him separate the business outcome from his identity, which is precisely the load-bearing wall this answer is trying to build.

Read at india.entrepreneur.com ↗

yirenlu.com About failure

My co-founder and I broke up. Here's a post-mortem.

An unusually honest first-person autopsy of a co-founder split, and it names the warning signs our answer says to catch early. Lu traces the break not to a blowup but to quiet, compounding divergence: one wanted to build something huge, the other wanted something of her own; their passions rarely overlapped; both were backend engineers with nobody who could sell. Read it as the drift you are describing, played all the way out, so you can name yours out loud before it hardens.

Read at yirenlu.com ↗

Value For Startups (valueforstartups.in) About failure India

Fi Money Investor Report: $522M Peak to Shutdown Story

An Indian fintech case where the pivot is dramatic (consumer neo-bank to AI-led B2B) and the founder's public communication is the study. Narayanan named what did not work without spin ('the ambition was right, but some paths taught us harder lessons'), and the report argues that this candor is precisely what buys credibility for the next chapter, when enterprise buyers and existing backers have to trust his judgment again. In an ecosystem where every retreat gets dressed up as a 'strategic pivot', this shows why honesty travels further than confidence theater.

Read at valueforstartups.in ↗

Lenny's Newsletter About failure

Notion's lost years, its near collapse during Covid, staying small to move fast, the joy and suffering of building horizontal, more | Ivan Zhao (CEO and co-founder)

Ivan Zhao talks in detail about the years Notion nearly died, including a full technical rewrite after the first version failed, and how he thought about telling that story once the company took off. It is a rare, specific account of a founder who does not sand down the failure, he describes exactly what did not work and what they changed to fix it. Listen for how a founder narrates a near death relaunch with confidence rather than shame.

Read at lennysnewsletter.com ↗

CB Insights About failure

The Top 12 Reasons Startups Fail

CB Insights read hundreds of real startup postmortems and found that poor product-market fit (around 43 percent) is the single biggest root cause of failure, ahead of running out of money. If you want to spot the warning signs early, start with the patterns of founders who already hit them: a market too small, a problem not painful enough, a product nobody urgently wanted. Treat it as a checklist of ways an idea can quietly go nowhere for a year.

Read at cbinsights.com ↗

YC Startup Library About failure

The 18 Mistakes That Kill Startups

Graham wrote this after watching hundreds of early companies fail, so the failure patterns are observed, not theorized. Two of his mistakes go straight at trend-chasing: the derivative idea (building an imitation of whatever is hot) and the marginal niche (picking a weak market to dodge competition), both of which trace back to his root failure, not making something users actually want. It is a good starting point for pressure-testing whether you are building on a trend or just following one.

Read at ycombinator.com ↗

LinkedIn About failure India

How we shut down Bluelearn and returned 70% of capital

A real Indian founder announcing the shutdown of his own venture, in his own words, having stayed conservative enough with capital to wind down cleanly and return 70% to investors. It is the local model for how you exit with your reputation intact: decide while you still have runway to do right by people, and let your team leave proud enough that several went on to start their own companies.

Read at linkedin.com ↗

Crunchbase News About failure

Your Startup Failed and Now You're Looking for a Job. Here's What to Do.

This is the tactical playbook for the interview seat: it tells you to lead with the milestones you actually hit, back the story with data, and treat the shutdown as a market read rather than a personal indictment. It maps cleanly onto our three-beat frame (what you set out to prove, what the market said, what you'd do differently) instead of leaving you to improvise under pressure.

Read at news.crunchbase.com ↗

Entrepreneur About failure

Harvard Business School Professor Says 65% of Startups Fail for One Reason

This is the citable source for the claim at the heart of your answer: Noam Wasserman's research across 10,000+ founders found 65% of high-potential startups fail from co-founder conflict, not market failure. It is the hard number that justifies refusing to rush a pairing, and it names the specific fault lines (leadership, money, credit, blame) so a founder knows what the paid trial and the 50 questions are actually stress-testing for.

Read at entrepreneur.com ↗

CB Insights About failure

The Top Reasons Startups Fail

Data from hundreds of startup post-mortems showing how often failure traces to no real market need or a trend that never materialized. It is a sober reality check on betting the company on a trend that stays a niche. Use it to stay honest about demand.

Read at cbinsights.com ↗

Y Combinator (YouTube) About failure

The 5 things that kill startups after their seed rounds

Michael Seibel ran Y Combinator and has watched roughly 70 percent of companies that raise on demo day never find real product-market fit, so his list of what kills them is postmortem-grade and concrete. He names the quiet ones first: fake product-market fit and building the company (hiring, offices, process) before you have built a product people want. Treat it as a checklist to run against your own startup, not a set of rules.

Watch on YouTube ↗

Penguin Random House About failure

Lost and Founder: A Painfully Honest Field Guide to the Startup World

Rand Fishkin writes with total candor about the mistakes, product failures, and eventual founder exit that shaped Moz, then goes on to build SparkToro. He does not perform confidence, he describes specifically what went wrong and what he did differently the second time, a rare model of public honesty from a well known founder. Read it if you want to see what owning the miss as a credibility move looks like across an entire career, not just one paragraph.

Read at penguinrandomhouse.com ↗

Y Combinator (YouTube) About failure

The Biggest Mistakes First-Time Founders Make

Michael Seibel has watched thousands of early teams up close, and here he walks through the patterns that sink first-timers, including pouring months into building something before checking that anyone wants it. For a first-time founder it helps you hear the warning signs in a real voice rather than a checklist, so you recognize them live when your own build starts drifting. It is broad on purpose, which is useful when you are still learning what "wrong thing" even looks like.

Watch on YouTube ↗

Lenny's Podcast (YouTube) About failure

Lessons from 1,000+ YC startups: tar pit ideas and pivoting

Caldwell has watched thousands of founders and can pattern-match the ideas that quietly stall for a year before anyone admits it. He talks through how to tell a slow-but-real start from a doomed one, and when persistence becomes denial. Useful when you already have an idea and need an outside read on whether to keep going or pivot.

Watch on YouTube ↗

Chris Saad, Startup Snippets About failure

Being too early is the same as being wrong

This is the sharpest short statement of the trade you are weighing: if you bet on a trend before the market exists, the calendar does not give you credit for being right eventually, you just run out of money first. Saad walks through market readiness, customer readiness, and feature timing, so it reframes 'too early' as a real failure mode and not a badge of vision. Read it as a starting point for deciding whether a rising trend is actually ready or just interesting.

Read at chrissaad.com ↗

First Round Review About failure

Founder Exposed: Opening Up About Startup Failures and Vulnerability

Jeff Wald went bankrupt when his first startup collapsed, then built and sold WorkMarket to ADP, so this is not theory. His point cuts against the instinct to bury the earlier failure: openly owning it is what builds trust for whatever you launch next, and hiding it reads as a weaker signal. It also draws a sharp line between a safe past-tense failure story and genuinely putting yourself on the line.

Read at review.firstround.com ↗

James Routledge (founder of Sanctus) About failure

Founder Startup Grief

Routledge built and wound down Sanctus, then wrote the piece almost nobody writes: the one that treats the end of a company as a real bereavement, not a LinkedIn lesson. His line 'you will need to grieve, lean into the sadness' and his warning about founders who 'skip the funeral' and pay for it later is exactly the permission this question is about. He also gives you the how: ending conversations on purpose, a transition ritual, celebrating the thing before you move on.

Read at jamesroutledge.co ↗

Matt Munson (CEO, Twenty20) About failure

My Journey Through Founder Depression

This is the honest first-hand account, not a tactical post-mortem. Munson describes meditating in the corner of his office unable to focus past 'the aching in my chest,' and names the exact trap this question warns about: founders fuse their self-worth to the company, so when it wobbles, they feel worthless. His reframe (depression as 'a long-time visitor' that passes) and his basics (say it out loud to someone, reconnect with joy outside work, protect sleep and exercise) are what actually help you reset before the next thing.

Read at mattmunson.me ↗

Heavybit About failure

The Acqui-Hire Is No Longer a Distress Sale

This is the clearest breakdown of where the money and the IP actually go in an asset sale versus a wind-down, so you can see who wins in each path before you pick one. It shows how consideration splits between the company (which flows through the cap table to investors) and the team (retention packages that do not touch investors), and it walks named deals (Inflection returning investors 1 to 1.5x, Windsurf's team-and-license structure) so the abstract becomes concrete. Critically, it flags the trap: if too much value is routed to the team around a 1x liquidation preference, investors can allege you diverted value, so a soft landing done carelessly can end worse than a straight shutdown.

Read at heavybit.com ↗

founderpledge.com About failure

Founder Mental Health Pledge: Resources Directory

When the advice is 'find two or three founders who have shut down and talk to them,' this is where you actually find them. It is a maintained directory of confidential founder peer circles (Formative, Hampton, The Grand), free peer-support tools (Stigma), and coaching built for this exact moment (Reboot), not generic therapy links. You do not have to build the support space from scratch; pick one line off this page and show up.

Read at founderpledge.com ↗

The companies

80 of them, and what each one was. The description is the company's own, taken from the page the account sits on, and left out where the page carried none.

  • 8tracks 8tracks has had a long run and its day in the sun. We’re sad to announce, however, that the company and its streaming service will wind down with the end of the decade, on December 31st, 2019…
  • Adleaf Technologies Chetan founded Adleaf, a blend of programming bootcamps and software solutions. Multiple bad decisions and mismanagement of funds made it shut
  • Approkers
  • Autto.in Autto.in was an on-demand doorstep car service provider. They spent lots of money on customer acquisition, but retention was bad, so it shut
  • Baremetrics (Intros) Intros, a product we launched to great fanfare three months ago, is being shutdown, having never made a single penny and costing our team months of work.
  • Basis Robotics Basis as a company is shutting down. Thomas and I gave it a good shot but - we have no funding, and after our release, not one person tried our software.
  • Beautiful Savings Secure the right domain name for your business or website today. Custom tailored payment plans available to fit any budget.
  • Bench Get comprehensive small business bookkeeping services and tax filing support with America's largest online bookkeeping solution. Trusted by over 35,000 small business owners."…
  • Bevy
  • Binpress 3x founder, B2B SaaS w/ Gymdesk
  • Brett Martin's Blog Entrepreneurship is more about failure than success, both statistically and emotionally. Most start-ups fail. You can only succeed if you are prepared to fail along the way and the world’s …
  • Changenuity
  • Circa
  • College Conductor My Software as a Service failed. After three years of running College Conductor, I'm shutting it down...
  • Content Goblin I’ve made the difficult decision to shut down my SaaS Content Goblin. It’s no longer financially viable for me to keep running the software. Content Goblin was my tool to generate image based…
  • Cryptine Networks
  • Cydoc I was the Founder and CEO of Cydoc, a health AI startup, for seven years (April 2018 to August 2025). We achieved what many consider to be validation milestones: paying customers, patents, and demo…
  • Cyngn DriveMod gets all of your industrial vehicles humming as a single, unified autonomous vehicle fleet so you can work faster for less cost.
  • Devver As we’ve begun to wrap things up here at Devver, we’ve had the chance to reflect a bit on our experience. Although shutting down is not the outcome we wanted, it’s clear to both D…
  • Diaspora
  • DrawQuest (Canvas)
  • Echelog Découvrez Echelog.com, la solution idéale pour surveiller, analyser et optimiser vos performances IT grâce à une gestion avancée des logs en temps réel.
  • Empiricast
  • Exec
  • Fab.com
  • Freshconnect Tarun founded Freshconnect, a B2B marketplace for fresh agricultural produce. They couldn't secure a funding round and were acquired by another
  • Frobocode
  • FrontRow A hobby-learning platform teaching skills from celebrities and experts, backed by Lightspeed.
  • Gigpeppers
  • GrowRecruit
  • Inovvorx InoVVorX was an app development company. They made $300k from their services, and raised $100k. But they began building their projects and ran out of
  • Jobridge Jasmeet built a job board with a unique offline-online model. But their idea was too ahead of time and, due to a bad business model, they had to shut
  • Josephine
  • Kaitek Labs It’s been a year since then and now that I finally sit down to write This, the real post mortem, the autopsy for my dead child, there’s finally a small sense of peace. It’s over, isn’t it?
  • Kiko
  • Legit Torrents Download free and legal torrents. Music, movies, games, software and more! Legit Torrents is the biggest and best free and legal torrent tracker.
  • LFGSS
  • Longform Longform.org posts great new and classic non-fiction articles, curated from across the
  • Marginalia My side-business Marginalia has not done well so I decided to put it out to pasture.
  • Meta Blocks The idea wasn’t working, and no amount of optimism or grit would change that. So we made the only honest call left; return the money.
  • Mishra Motors Mishra Motors was to be the premier electric sports bike in India. Time and capital were the causes of its
  • Nextt My most recent start-up, a mobile planning application known as Nextt, is shutting down. “Starting a company is like throwing yourself off a cliff and assembling an airplane on the way down.” Reid …
  • Ondsel After operating for almost two years, Ondsel has made the difficult decision to cease operations and close down.
  • OpenSNP As this blog post is being published, we are sending out emails to all openSNP users with some news: OpenSNP will be turned off – and with that also delete all the data stored on it – on April 30,…
  • oratio
  • Outbox
  • Pagedraw Design your web UI, then use the design directly from code. No more time wasted translating mockups to JSX and CSS. Using Pagedraw is like adding another React developer to your team.
  • Path
  • PeridotOak
  • Placemark
  • Pricezombie
  • Quesma We had a great team, $2.5 million, and a validated problem. A year later, we sold our IP for parts. Here’s what we learned about urgency and co-foundership.
  • Quibi
  • Rdio
  • Reflr An overdue, and self indulgent retrospective on my first startup.
  • RethinkDB When we announced that RethinkDB is shutting down, I promised to write a post-mortem. I took some time to process the experience, and I can now write about i...
  • Sandstorm Take control of your web by running your own personal cloud server with Sandstorm.
  • Savizy
  • SchoolGennie School management software for Indian schools.
  • Secret
  • Sidecar
  • SiteChat About a year ago I built a Chrome extension called SiteChat -- the premise was simple: turn every website into a chatroom. The app was an instant success, and over the following year I watched entire…
  • SixXS Sunset, SixXS - IPv6 Deployment and IPv6 Tunnel Broker, helping to deploy IPv6 around the world, IPv6 monitoring, IPv6 routing monitoring, IPv6 coordination, IPv6 Transition
  • Slight My best guesses as to why our early stage data startup failed. This isn’t a retrospective, but something closer to advice for past me. Or maybe just exorcism.
  • Standout Jobs A biweekly newsletter on navigating the chaos of building & investing in startups. Topics include venture studios, entrepreneurship, product management, analytics and more, leveraging a combination…
  • Storylog Share a story that could only come from you. A spiritual experience, unexplained mystery, or an unlikely series of coincidences.
  • Subimage
  • Supermaven We will provide free autocomplete inference for existing customers for the foreseeable future.
  • Take Eat Easy
  • The Punjab Kitchen Amit started a home-made food business with his wife. They invested $1,200/mo to set it up. However, they couldn't compete with competitor's lower
  • Tract A postmortem of a startup that attempted to address Britain
  • Tutorspree Although we achieved a lot with Tutorspree, we failed to create a scalable business. I've been working through why. In doing so, I’m trying to avoid the sort of hugely broad pronouncements I often...
  • Twitpic
  • Veniqa Veniqa - Open-source E-commerce Solution. Built using MEVN Stack (Node.js, Express.js, Vue.js, MongoDB) and more. 100% Code Customizable.
  • Vidme
  • Walnut
  • Wesabe
  • Yik Yak
  • Zaplib
  • Zirtual First, let me start by telling you a story… Over four years ago I moved to San Francisco from Reno, Nevada, with a backpacker’s pack and the burning desire to turn my blog’s side-business, virtual…

Where these come from

84 of the 113 accounts were published by the founder themselves, on their own site or somewhere they write. Every entry names its source on the card before the headline, because whose words these are is the whole claim. No single publication supplies more than 10% of the library: Failory 4%, CB Insights 1%, The Failed Founder 1%, Y Combinator (YouTube) 1%, LinkedIn 1%, Founders Village 1%, Coach Leonardo Ramirez 1%, fail faster 1%, Harvard Alumni Entrepreneurs 1%, Tech With Tim 1%, Polyweb 1%, Rishit Karia 1%, Sammi Tannor Cohen 1%, DjangoCon Europe 1%, Chris Saad, Startup Snippets 1%, First Round Review 1%, Ericson Mendoza 1%, Indian Silicon Valley by Jivraj Singh Sachar 1%, inc42.com 1%, Inc42 1%, yourstory.com 1%, Lenny's Newsletter 1%, YC Startup Library 1%, Oskar Bader | DesignWithValue 1%, joy gracia 1%, Kamil Rextin 1%, Raj Shamani 1%, founderpledge.com 1%, Marc Lou 1%, Forbes 1%, IndieFolio 1%, Startup with Jens 1%, Entrepreneur 1%, Minnestar 1%, Inverted Passion 1%, CNA Insider 1%, Alan Wang 1%, YouTube (Harvard Innovation Labs) 1%, Mike Knapp 1%, Penguin Random House 1%, Matt Munson (CEO, Twenty20) 1%, BetterPlace Mental Health 1%, Entrepreneur India 1%, Daniel Midson-Short 1%, Crunchbase News 1%, Build Measure Learn Succeed 1%, Founders Only 1%, Jason M. Lemkin 1%, Value For Startups (valueforstartups.in) 1%, Garry Tan 1%, Burak Buyukdemir 1%, Practical Founders - with Greg Head 1%, Myluxtrade Digital Hub 1%, The Startup CEO Show 1%, Matthew Gira 1%, EWOR 1%, Business. Startup. Productivity. 1%, James Routledge (founder of Sanctus) 1%, Internet Made Coder 1%, Fintech Takes 1%, Lenny's Podcast (YouTube) 1%, Rishabh 1%, Mike Ojo 1%, Heavybit 1%, yirenlu.com 1%, Founders in Motion with Thea Ngo 1%, and Peek 1%. That ceiling is held by a test rather than by good intentions, because the easy way to grow a corpus is to take more from whoever is easiest to scrape.

Every company here is gone, so its domain eventually lapses and somebody buys it. The links are re-checked and anything that has turned into a parking page or an advert is removed.

Questions, answered

What is FailCode?

A library of first-hand founder accounts of things that did not work out, filed by subject, each linking to the source. Alongside them sits a smaller shelf of curated resources about failure, marked as such.

Who decides why a startup failed?

Nobody here. FailCode carries what the founder said and files it by what they said it was about. It adds no commentary of its own, and it publishes no account of a failure written by somebody who was not there.

What is the difference between an account and a resource?

An account is first-hand: the founder's own post, or an interview they answered themselves. A resource is about failure but was made by somebody else, such as research or a talk. Every card says which it is.

Why are some accounts not filed under a subject?

Because the founder did not name one. Reading a cause off a headline would be the same move as taking one from press coverage, so those sit under Not yet filed until somebody reads them.

Can I add my own?

Yes. A signed-in founder can write theirs on eChai and it sits alongside the curated accounts under the same subjects.

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