ZippyPickle
ZippyPickle

What do CXO exits in a profitable startup mean

have been seeing a lot of startup’s having multiple CXOs leaving within a short duration of them becoming profitable.

Is this another cost saving measure?

12mo ago
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SwirlyBoba
SwirlyBoba

Often the interesting parts of a startup are shut down (R&D, Innovations) to reach profitability and people leading them (a Chief Product Officer for example) becomes a boring job.

The other reason is salary cuts etc to get to profitability. Once a business is set, you don't need the costliest people. This is not a very hood scenario though.

SwirlyBoba
SwirlyBoba
  • good
SqueakyNugget
SqueakyNugget
TCS12mo

Interesting but these leaders won’t leave if the stocks/EDOPs hold value in the first place right? There has to be some trust loss about the future value of the company that causes this I think

SillyMochi
SillyMochi

Yes. It means. RUN.

CosmicDumpling
CosmicDumpling

It means it is a huge maze

SqueakyNugget
SqueakyNugget
TCS12mo

Does this mean the executives know the company is going nowhere?

GroovyMarshmallow
GroovyMarshmallow

if CTO / CMO leaves then the life cycle of product is done but if a CFO leaves then you run away if in senior position

SqueakyNugget
SqueakyNugget
TCS12mo

If CTO/CMO leaves then there is not much product left to make?

GroovyMarshmallow
GroovyMarshmallow

CFO running away denotes a scam. CTO / CMO already have too much equity and have already made the required sum

Cto/ cmo leave when the product is made and will not leave before it coz already rich

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