Startups & Covid-19

This we spoke to Chantal, the Founder of the music licensing for performance sports platform ClickNClear, to find out how Covid-19 is effecting her business.

Our interview with Chantal:

How has coronavirus impacted your business?

It has certainly affected our market (we license music to performance sports) and slowed a few things down but it has not drastically impacted our business yet. We are still early stage and technically pre-revenue and were planning on launching in the summer. It may delay our launch slightly but we do not see it drastically affecting when we will be revenue generating. Sports events will happen again, it’s just a question of when so we just need to be as prepared as possible.

Have you had to pivot your business and if so how?

To some degree, yes. We are a music tech company licensing music to performance sports teams. We have been in beta for the last year and are planning on doing a launch this summer. All events have been cancelled however and whilst that would seem like the end of the world for a business like ours, we actually see it as an opportunity.

We have been busy focussing on our technology and continuing to sign more deals with music industry labels and publishers so when we are ready to launch, we have the best tech and the best music possible. Now that sports teams are closed for training, sports federations and coaches have the time to engage in conversation, browse ClicknClear and think about their music for next season. Instead of attending events and meeting people, we can focus this time on building education around music licensing and closing deals with international and national sports federations which will help us generate revenue as soon as events start up again.

Have you been engaged in a fundraise during this time?

We had just started a new fundraise when COVID19 hit and have seen a slow down in response and interest. Many are looking after existing portfolio companies and are less interested in investing in new companies especially if they are in a market that has been negatively affected. 

How has this been impacted and are you adjusting your plans?

There’s a lot of uncertainty right now so we have been re-thinking our raise and ways we can continue for longer without additional funding or ways we could close less funding now, with a potential bigger raise once this is all under control.

Another consideration for us is that we are a global company. We work with national federations all around the world and each of them will go in and out of lockdown at different times. We are keeping up to date with all the latest news and keeping conversations going with those federations so we are in the best position possible.

What message would you have for investors?

The time to explore and start conversations is now. Most people have more time. Some of us are still very busy but if we start conversations now, you can learn how founders operate and react to some of the most difficult challenges. It is possibly the best test of the capability of a founder(s) and should mean that an investor can become much more comfortable with their investment and more understanding of the businesses plan. 

We are open to having initial conversations and keeping potentially interested parties up to date as things progress.

How are you coping with lockdown? What is your strategy?

We all remotely work so we’ve been fairly accustomed to lockdown for a while! It hasn’t affected us too much at all. It’s actually been really nice to not be on an aeroplane every couple weeks and spend some much needed time to focus on new ideas and projects we’ve been wanting to do. We are a small team but this has essentially increased our resources! We can get more done, we are becoming even better at communication and are getting creative with solutions to challenges.

Is there anything your business is doing to help in your community or with the wider crisis?

We have been thinking of some potential ways to help but given we are still pre-launch, we are still building some of our community. We have been putting out themed positive playlists of music to help support people but are really focussed on building all of our educational material covering music licensing so coaches have additional resources and understanding of it.

What advice would you give to other startups at this time?

These are challenging times for us all. Some will make it but others won’t and we can’t be too hard on ourselves for something that is out of our control.

You have to focus on the small things that you can control in your business – scale back expenditure if you need to, ask yourself the difficult questions, have a plan a, b c, d and more! Be ready to adapt to anything that comes your way and try and remain positive but accept that you will have bad days and know what they will pass. 

For more tips on dealing with the impacts of coronavirus, visit our Startup Survival Guide.