I think you can at least take some credit for telling your employees to look for other jobs.
Our CEO would come into our office and say, "I just had a meeting with a potential investor and he's committed $25k!" He always had our hopes up, but our CFO would paint a different picture. Even our president told me he was starting to pick up work on the side.
We'd had a not bad year - our first six figure project was earlier that year. However, the sales cycle was proving to be much longer than we'd anticipated (selling to higher ed) and then we had a couple of projects cancel (mid-late 2003). Everything became too much.
Later, I went back to working for others for a while. I smelled a bad burn rate at this company, but only after I'd sold my house and moved states. :/ We were supposed to be impressed with announcements of $x projects and $y investments, but it wasn't that hard to see that 20+ people at a company, being paid full time, would eat up those $x and $y in just a couple months, but the $x was for a 9 month project.
I ended up being extremely cynical and distrustful of others (as I'm sure a few people ended up distrusting me earlier) and it's taken years to get back a modicum of faith/optimism again. Working for myself seemed about the only way I could have a degree of control and not be left in the dark on finances. Yeah, my boss is a jerk, but I'm sleeping with his wife. ;)
Our CEO would come into our office and say, "I just had a meeting with a potential investor and he's committed $25k!" He always had our hopes up, but our CFO would paint a different picture. Even our president told me he was starting to pick up work on the side.