HISTORY In May 1998, GovWorks.com was founded and had 8 employees. The idea of ​​such an Internet service was inspired by best friends and two co-founders: Kaleil Isaza Tuzman and Tom Herman. They quit their jobs to start working on the website. The company started with a couple of computers, a relatively small office and a car. With a very rapid expansion in a few months the company reached 30 employees, but it was only the beginning. Their goal was simply pompous: to transform the local payment system into the scale of a federal system and then into a global transaction system. Even the company's slogan was immodest to say the least: "All payments for all governments." He tried to gain support from organizations representing many different municipalities. For example, the United States Conference of Mayors. They were the so-called umbrella organizations. With their support, GovWorks could quickly become a national enterprise. Unfortunately it didn't happen that way. Tuzman and Herman underestimated the trust that small towns have in the support of umbrella organizations. GovWorks expected large contracts to arrive more quickly than they actually did. As a result, by early 2001, the company was no longer in business. COMPETITORS Their target market was estimated at nearly US$600 billion. Of course, such a platform was more than unpredictable. The lack of experience could not give them the opportunity to estimate it. Despite all this risk, they chose the right option to raise the initial capital. It was a merit of Tuzman, who had a good and clear feeling and point of view in business. However, GovWorks had numerous competitors, offering quite similar and sometimes even lower… middle of paper… seemingly specific job description services. The lack of determination about how smart, easy to manage, well-rounded, and productive the employees they were hiring were brought dozens of unnecessary people into the company. The end of the "dotcom bubble" forced them to lay off three-quarters of their staff in six months. One of the most crucial problems was that the company simply ran out of money. Their flawed revenue assessment and expectations were too high. There were some aspects that no one could predict: as already mentioned, unprecedented rapid growth and a dangerous and untested market. Plus, in all of this, they were just victims of bad timing. In turn, board members and investors were often disappointed. As a result, costs are much higher than expected and revenues are, on the contrary, scarce. All these were the reasons for the insolvency of Govworks.com.