HACKER Q&A
📣 switchstance

How do you know that it's time to shutdown your startup?


I started Bestlist.com around two years ago. It is a search and discovery app that allows users to find the best of anything. The idea came about after I had grown tired of the current state of search, where a query often resulted in SEO-optimized blog posts instead of the desired information. In a nutshell, Bestlist works by taking the user’s query, scraping the internet for reputable articles and social media posts relating to the query and extracting the mentioned “listings.” To form our ranking, we take many factors into account. We look at occurrences, the listing’s ratings on various sites, sentiment regarding the listing, and a few other things. Our results are not perfect, but we’re improving them on a daily basis.

We launched on Producthunt with lackluster results. After talking with users and getting feedback, the main issue I see is that people all have their own ways of searching and finding what they’re looking for, and Bestlist doesn’t provide enough of an “Aha” moment to stay at the top of mind to form new habits.

I’ve been funding the five person company with revenue from the sell of my first company, but I’m having a hard time stomaching spending more money each month, when we seem to be make little to no progress in winning users over. Add to that, the seemingly overnight onslaught in AI capabilities and the fear that what we’re creating is heading towards obsolescence, and I feel absolutely defeated.

A competitor of our’s raised a $10 million series A recently, so there are clearly some believers in the problem we’re trying to solve.

I'm at a loss. When do you know it’s time to shut your startup down? Any feedback is welcomed.

Thank you, Tyler


  👤 logicalmonster Accepted Answer ✓
Hi Tyler. Not trying to discourage you because I find these kinds of sites fascinating, just wanting to give some constructive feedback.

1) The card-like layout of your site might not be the best one for a ranking service. Cards are good for physically taking up the least screen real-estate when you have different size text and images, but sort of feel visually off and jumbled for strictly ordering stuff.

2) The main thing about your site that bothers me is the same thing that bothers me about Google: the opaqueness of the algorithm. Say that I search for a specific genre of movies and find the "best" ones. Best according to who or what? Maybe you have the greatest and most sophisticated system that the world has, but not knowing anything about the reason for sorting leaves me rather uncomfortable.

3) I wonder how much consistency and caching might be possible for a site like this. I searched for Presidents and US Presidents, and got slow and wildly different search results both times.


👤 muzani
Many startups also pivot over to something else entirely (e.g. Slack) because they have a great team with good chemistry. You could just tell everyone, "We have 3 months. Let's stop working on this because it's clearly not working. What do you guys want to do?"

On the bright side, you have an organization with nothing to lose, on the dawn of AI spring. Most other capable organizations are still working on whatever it is they're working on, only playing with AI on weekends. You should be able to grasp some low hanging fruit out there.

It might not even directly be related to AI - things like hardware, infra, fact checkers, nickel mining, all these things will boom together with increased AI investment.


👤 ezedv
I found this article very interesting that talks about what you're asking: https://www.ratherlabs.com/post/biggest-mistakes-first-time-...

👤 v1l
What are your competitors doing differently? (it's not the funding) Do they have traction?

Do you have any hail mary cards left up your sleeve? If not, or if you've run out of steam, or don't believe in this anymore (blind faith not allowed), then shut it down and cut your losses asap.


👤 mattewong
Do you have revenue? If not, how close to revenue are you?