How can a startup CEO align the team on company goals and recover when key account management fails?

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I think your friend is right ... keeping people on the same drumbeat isn’t daily all-hands—it’s having a vision - and being really clear about where you are going and what role each of your team has in getting you there. That vision is something you are going to keep repeating until you're sick of hearing yourself - because only then is everyone else starting to get it.1

But there are some subtleties to that.

1) You can't be overly general - you have to be pretty specific - which means setting out your top priorities this quarter, what “good” looks like (numbers), and what you’re not doing. Repeat constantly.

2) You need a scoreboard. Your team needs metric they are aiming for - reviewed frequently.

3) Consequences: Freedom only hapens when paired with responsibility.
If performance isn't where it needs to be, you coach, redesign the role, or replace. Drift happens when the bar is fuzzy.

As for your $85k loss - it does not one any good for you to pat yourself on the back about what a great hands-off manager you are ... while the company is going out of business. The tricky skill of a CEO is how to empower others, but at the same time keeping an eye on the detail and knowing when to step in. Although the immediate feeling from your AE will be hurt feelings, in the long run this is the type of education they need what you expect, what good looks like, and where they are falling short. So: call the customer, say “that’s on me,” swap the AM immediately, ask what specifically broke trust, and propose a concrete next step to restart momentum.

If you are continuing to hear “they prefer you, ” it usually means the AM role/playbook is weak—or the person isn’t right for it.