Startups encounter numerous challenges, leading to failures for various reasons including inadequate market research, ineffective sales, and poor business models. The current economic climate, with rising interest rates and potential recession, adds to these challenges by making funding harder to secure and managing cash flow more challenging. Competition has also intensified across industries, further complicating the ability of new companies to gain a market foothold. A shift in investor focus from growth to profitability has placed additional pressure on startups that aren’t yet profitable.