Low morale can have several adverse effects on a startup: - Reduced Productivity: When team members are demotivated, their output and quality of work can suffer. - Increased Turnover: High employee turnover can be costly and disruptive, especially for a startup. - Stifled Innovation: A lack of motivation can hinder creativity and innovation, which are critical for a startup's success. - Damaged Reputation: Poor morale can lead to negative word-of-mouth, affecting the startup's reputation and ability to attract talent and investors.