When FedEx slashed its sales forecast by half a billion dollars a few weeks ago, the economy took note.
Often propped up as a bell-weather stock, the global delivery and logistics corporation’s success is indicative of the overall health of the economy.
So, when demand for packages drops precipitously around the world, there are sweeping implications across the majority of industries.
Similarly impactful (though different in its global impact), the ongoing war in Ukraine continues to stress the coffers of businesses, as inflation and the cost of energy remain steep.
These are just a couple examples of macro factors that impact the micro of business operations. The health of the global economy has a direct bearing on the bottom line of the corporations that comprise it.
During times like this, volatility is baked into the market. As a result, investors are understandably reticent when it comes to parting with their dollars.
Meanwhile, business operations of previously bullish corporations have made an about face.
Starwood Capital Group CEO and chairman Barry Sternlicht recently told MSNBC that CEO confidence is “miserable” following the Fed’s most recent 75-basis-point interest rate hike.
However, there is a distinction that warrants attention.
While the CEOs of major conglomerates are “miserable,” there are CEOs elsewhere with rosier dispositions.
That’s because early-stage startups are accustomed to operating in lean fashion, and with the 360-degree view of the macro constraints, can plan accordingly to not just survive – but thrive.
Take RAD AI, for example – a previous A+E recommendation.
Despite the public markets wiping approximately one-third of their total value off the books since the start of January, this AI-driven marketing platform is dancing to a far different tune.
Through the first three quarters of 2022, RAD AI is in position to more than double its revenue run rate by 2023. Its core client base, which entering this year were all signed up on a trial basis, have since renewed for annual or multi-year contracts. It recently onboarded a new group of trial-based clients, including the Wall Street Journal, FanDuel, and HOP WTR.
Not only that, this startup’s bolstered its AI technology to make it even more effective at generating authentic marketing. Plus, it just welcomed a high-profile director of business development and a new, experienced advisor (and investor).
While the rest of the economic world goes one way, RAD AI (and other successful early-stage companies) remain undeterred.
In fact, in a recent Bank of America survey, 77% of entrepreneurs feel their business is equipped to survive a recession. Taking things one step further, 66% of business owners expect their revenues to increase, with 52% planning to expand.
This goes to show the opportunity that exists in the startup space. Fear doesn’t need to be the overarching emotion in the financial world. There are other ways to set yourself up for financial success.
That being said, RAD AI’s current Reg CF round is still accepting investment.
It isn’t all doom and gloom when it comes to the investment landscape. You just need to know where to focus.