My quick answer? Reduce the team to the minimum needed to explore new business models, raise enough runway to keep that team going for 18 months, restructure the cap table to incentivise this core team, and treat it like any other startup. Perhaps change the name too to avoid continuity and too much press attention early on.
Of course, no one is ever given this much latitude. Existing shareholders would argue that diluting them down to almost nothing (90+% dilution) does not mean "saving the company" (they're wrong, IMHO. Shareholders and "the company" are two distinct entities). The amount of politics involved in pulling this off would be such a distraction that even if it succeeded, it would probably destroy the company's chances - and this is even before you consider the hangover from millions of euros of debts!).
So, in short, the only sensible way for people in that company is to shut it down and start another with a clean bill of health, and chalk this one up to experience.
> My quick answer? Reduce the team to the minimum needed to explore new business models, raise enough runway to keep that team going for 18 months, restructure the cap table to incentivise this core team, and treat it like any other startup.
Yeah, having "stores for every country" is almost exactly the opposite of what I'd call "exploring business models with a minimal team". So, in short, that is not what they've been doing.
Of course, no one is ever given this much latitude. Existing shareholders would argue that diluting them down to almost nothing (90+% dilution) does not mean "saving the company" (they're wrong, IMHO. Shareholders and "the company" are two distinct entities). The amount of politics involved in pulling this off would be such a distraction that even if it succeeded, it would probably destroy the company's chances - and this is even before you consider the hangover from millions of euros of debts!).
So, in short, the only sensible way for people in that company is to shut it down and start another with a clean bill of health, and chalk this one up to experience.