[mywittyname]

This makes sense, old school game development required paying (relatively high) salaries for years before maybe getting a payday. It would be difficult/impossible for any company to keep 5 years of salaries in savings to mitigate the risk of your next title failing.

Yeah, this ignores the role publishers play, but I doubt a publisher is going to give a relatively new studio too many opportunity. You're game needs to make money if you want another shot.