Things were looking up for Tractiv in January when the data tracking software startup was on the cusp of a deal with Marvel Studios. Now, it is on the brink, with just enough cash left to make it to Thanksgiving.
– Reuters.
The story of Tractiv’s dramatic reversal within the fortunes is symbolic of the times. Marvel, which is a unit of Walt Disney, initially planned on using Tractiv’s software in their post-production process, as per the documents show. But, the layoffs at the Hollywood and Disney strike have thrown a wrench into the works.
While at the same time, a pullback in venture capital because of a higher rate of interest meant a drying up of funds. Trcativ’s CEO and co-founder Drew Orsinger said he
“needs $600,000 to $700,000 to keep going for a few more months, the time he needs for Hollywood to return to work and for talks with other potential customers to get traction.”
He is not sure if he will be awarded with success.
“We are not throwing in the towel, but we are struggling,”
Orsinger added.
Both Marvel and Disney have denied the comment.
Tribulations of Tractiv are detailed here depending on the interviews with almost half a dozen executives and other investors who know well of the start-up well and a review of the documents of the company. They offer rare, and often blow-by-blow, insights into startups that face hardships.
“The bar has been raised for what opportunities they’re prepared to put money into,”
Mark Almeida, the director of Tractiv and a former senior executive of Moody, said.
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