Will Tech Startups Be The Hero This Recession?

Something interesting that was brought up at Startup School, is that unlike the last economic bubble burst, which was pretty much 100% CAUSED by tech startups, the current bubble bursting, and subsequent recession will leave Tech Startups largely unaffected, at least directly.

Tech Startups, by and large, don’t carry significant debt. As such they will have little direct impact from the credit/debt crisis which is a driving factor in this economic decline. Any many of them won’t even be effected secondarily by the reduction in luxury spending, as many of them don’t actually charge users at this point.

So will Tech Startups be the last businesses hit by layoffs and budget crunch? Will they provide a solid anchor of invested money? What do you think?






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