Tips on Navigating a Year of Uncertainty

Google Trends, which provides data on the popularity of search terms, shows that queries with the word “uncertainty” have hit a five-year high in the finance world. And it’s no wonder: Anyone who pays attention to capital markets in the United States knows that recent fluctuations reflect uncertainty about the economy and direction of government policy. 

While that’s to be expected during a time of economic change, and when a new administration enters office on pledges of disruption, it can make life harder for founders trying to raise money, build a business, and compete in crowded spaces. 

But it shouldn’t be a deterrent.

After all, many of the world’s great businesses started during times of recession and change, from Microsoft (1975) to LinkedIn (2002) and Uber (2009). Conventional wisdom suggests this occurs because downturns create opportunities for innovation and hiring and open gaps in the market that smart founders can fill. 

Conventional wisdom, however, probably isn’t enough to help founders as they map out their strategies for 2025. At Startup Boston, we anticipated 2025 would be a choppy time, and in the past year asked investors and founders how early-stage businesses should plan for uncertainty.

Answers generally revolved around two main points: while innovation and fast growth are great, founders need to focus on business fundamentals and (eventually) achieving profitability, and despite talks of a bubble, AI is transformational and will catapult businesses that know how to implement it the right way.

Here are some comments that stood out on these topics and could help founders navigate a challenging – but promising – 2025.

Focusing on the Fundamentals:

• "We listen to founders and assess whether their vision makes sense to us. It’s less about dictating what we think the future should look like and more about aligning with the founder’s perspective.” – Ellen Chisa, Boldstart Ventures

  
  

• “We constantly tweak our process and improve the experience for founders based on the market evolution. But in the bigger picture, we’re going to stay consistent in our approach of steady and deliberate investing…We know that startups and small businesses are the drivers of job growth for our economy, and angel investors and early investors provide fuel for that.” – Raza Shaikh, Launchpad Venture Group

  
  

• “Since day one, York IE has been focused on pragmatic founders who are thoughtful about capital strategy – not a growth-at-all-costs type of model.” – Joe Raczka, York IE

  
  

On Leveraging Artificial Intelligence:

• "SaaS founders are navigating significant pressure to incorporate AI into their offerings, but it’s important for them to approach this thoughtfully. The key is ensuring that any AI component aligns with the company’s goals and addresses real customer needs." – Eleni Vorvis, Boston Founders Forum

  
  

• “We’re mindful of companies that include AI as a buzzword. Some founders focus on solving customer problems first, with AI being just one part of their implementation. That’s the approach we prefer—AI as a means to an end, rather than the sole focus.”  – Elena Chisa, Boldstart

  
  

• “You do have to dig a little to see what's truly AI versus just being marketed as AI. But it's definitely something we're seeing a lot of in this industry. And it has huge potential to drive productivity and innovation in construction.” – Carly Joos, Suffolk Technologies

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About the author: Randall Woods is a former editor at Bloomberg News and currently is a Senior Vice President at SBS Comms, a communications agency for technology companies and startups.