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As for the creation of new businesses, investment hasn’t stopped entirely – as the story on this very site about Twitter having just secured some shows – but I imagine we’ll see a lot more companies bootstrapping. Instead of dropping tens of thousands on colocated servers, they’ll be spending hundreds on cloud hosting initially, getting up and running with a much smaller outlay. Instead of working full-time on VC cash, they’ll build the business in evenings and at weekends. Ultimately, successful companies and failures will both benefit: greater equity for the founders of the latter, smaller losses for the latter. Meanwhile, someone newly laid off might spend the first few months and some payoff money building a startup, rather than trying to find a job working for someone else in this climate. Given a good idea and suitable skills, building a company might just be a better use of your time than sending out resumes – more so now than a year or two ago when jobs were easier to find.

As for the creation of new businesses, investment hasn’t stopped entirely – as the story on this very site about Twitter having just secured some shows – but I imagine we’ll see a lot more companies bootstrapping. Instead of dropping tens of thousands on colocated servers, they’ll be spending hundreds on cloud hosting initially, getting up and running with a much smaller outlay. Instead of working full-time on VC cash, they’ll build the business in evenings and at weekends. Ultimately, successful companies and failures will both benefit: greater equity for the founders of the latter, smaller losses for the latter. Meanwhile, someone newly laid off might spend the first few months and some payoff money building a startup, rather than trying to find a job working for someone else in this climate. Given a good idea and suitable skills, building a company might just be a better use of your time than sending out resumes – more so now than a year or two ago when jobs were easier to find.