Can I really launch a new business in this difficult environment?

Q: I have a startup idea, but I’m worried about raising money in this climate.

-Aspiring Founder

Dear Aspiring Founder,

Congrats on coming up with an idea that you want to pursue.

I know that we are in uncertain times and that can feel intimidating and even disheartening. There is some good news, though. While we are in a downturn, things at the seed stage things are still moving. We are still seeing early-stage companies fundraising, getting off the ground, and even taking off. If you have a compelling idea and a great team and you just need enough money to get started, it’s a good time to do that. Even better, hopefully by the time you are ready to raise a Series A, we’ll be through this correction, things will have warmed up and you will be well positioned for a larger round of fundraising.

There’s something amazing about the opportunity in front of you. If you have a fresh idea and a good team, people are often willing to fund you. I know it’s counter-intuitive, but if you were further along things could be more difficult. For example, if you had a prototype that is good but not quite ready for prime time and you are having trouble getting traction in this market, there could be more for investors to pick at, and you may be less likely to get the money you need.

These are not the best of times, but it still might be a great time to start a business as long as you can raise enough money to get through the macro-economic issues that are out there. Investors and marketplaces are more receptive to new ideas and change in difficult times. So many of today’s great companies such as Airbnb, Mailchimp, Slack, Square, Uber, Venmo, and Warby Parker were started in recent downturns. And this is not a new phenomenon, companies like Cisco, Disney, Electronic Arts, GE, GM, IBM, Microsoft, Southwest Airlines, Trader Joe’s and others were famously started in recessions. Salesforce and Google were founded right before the dot-com bubble burst and were able to navigate through that period of upheaval.

There will be great companies created in the midst of these unprecedented times and we need new ideas more than ever. Go for it and good luck!

Every week I respond to a new question. Ask me your question in the comments section.