Steve Blank

SEPTEMBER 5, 2018

Startups wrote business plans, generated expansive 5-year forecasts and executed (hired, spent and built) to the plan. These bubble startups were actually guessing at their business model and did premature and aggressive hype and early company launches and had extremely high burn rates – all predicated on an IPO to raise more cash.

Lean 335

Lean Burn Rate Startup IPO 335

Startup Professionals Musings

OCTOBER 16, 2023

Most aspiring entrepreneurs understand that you can’t build a business if you won’t commit to delivering a product or service, but many are hesitant or refuse to commit to any financial forecasts. External investors will demand a financial forecast, but it’s equally valuable to you, even if bootstrapping. Quantify overhead costs.

Forecast 290

Forecast Burn Rate Widget Business Plan 290

Startup Professionals Musings

FEBRUARY 5, 2021

Most aspiring entrepreneurs understand that you can’t build a business if you won’t commit to delivering a product or service, but many are hesitant or refuse to commit to any financial forecasts. External investors will demand a financial forecast, but it’s equally valuable to you, even if bootstrapping. Quantify overhead costs.

Forecast 369

Forecast Burn Rate Startup Widget 369

Startup Professionals Musings

JANUARY 4, 2015

Most aspiring entrepreneurs understand that you can’t build a business if you won’t commit to delivering a product or service, but many are hesitant or refuse to commit to any financial forecasts. External investors will demand a financial forecast, but it’s equally valuable to you, even if bootstrapping. Quantify overhead costs.

Forecast 120

Forecast Entrepreneur Burn Rate Widget 120

Startup Professionals Musings

DECEMBER 11, 2017

Based on your market size and penetration expectations, size how many units you will sell, at what price, in every channel. You need 5 percent or more of revenue for marketing, more for new development, and people costs will double as you add benefits, insurance, training, IT and processes. Project unit-volume and price levels.

Burn Rate 144

Burn Rate Forecast Angel Investor Revenue 144

Startup Professionals Musings

JULY 15, 2013

Using your data, here are the basic elements of the projection process, which are measurable by milestones, and can be tracked to show when a re-forecast is required: Start with sizing per-unit profitability. Next comes sales volume by channel. This forecast is really their commitment. Plan to re-forecast every quarter.

Forecast 238

Forecast Business Plan Burn Rate .Net 238

Startup Professionals Musings

AUGUST 7, 2015

Partnerships, distribution channels and pricing models should be included. “If This allows them to calculate burn rates, break-even points and forecast the company valuation over time. Specific elements of your marketing and sales plans. If we build it they will come” is not a marketing and sales strategy.

Product 120

Product Intellectual Property Liquidity Event Burn Rate 120