Startups site bans bad news

The recently launched site for startups, Launchlab.co.uk, has decided it’s fed up with all the economic FUD (fear, uncertainty and doubt) we’re being bombarded with and will from now on ban bad news.  It seems Alistair Darling’s comments about the UK economy heading for its worst downturn for 60 years has been the final straw for editor Dan Matthews.

Dan says:

Confidence is a big part of what makes the economy tick and all this bad news is making people feel pessimistic and scared. There’s no reason not to start a business right now, as long as you do homework and launch in the right way.

Here at SmallBizPod we agree that all the economic news is unsettling and in many respects can be a distraction for the determined business owner.

That said, all new businesses need to consider the economic environment into which they’re launching very carefully.  They should be aware of the stark realities.  No news is not necessarily good news in this context.

Cash flow projections for a newly launched high street retailer may be very different right now than they would have been a year ago.

A business that plans on disrupting an existing market, however, may actually benefit from a slowdown which often presents these types of nimbler businesses with opportunities slower beasts can’t take advantage of.

Interestingly over 50% of Launchlab readers, appear to agree, saying a downturn will have no effect or a positive effect on their businesses.

Talking up a recession might well be just what some ambitious startups need.  Perhaps Launchlab should rethink its policy.

So what do you think, is a ban on bad news a much needed exercise in positive thinking or little more than an example of ostrich-like behaviour?

[Picture credit: tennessee_mary@flickr]

dan matthews | launchlab | recession |