Remove Burn Rate Remove Demand Remove Operations Remove Seed Money
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Should Startups Care About Profitability?

Both Sides of the Table

They don’t want high burn rates but they will never fund slow growth. They both raised angel / seed money of $1.5 million to fund operations in their first year of operations. After all, they doubled their operating costs when they weren’t even profitable. What did they actually do? Again, it depends.

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How to Fund a Startup

www.paulgraham.com

A lawyer I asked about it said: When the company goes public, the SEC will carefully study all prior issuances of stock by the company and demand that it take immediate action to cure any past violations of securities laws. It wasnt because they werent accredited investors that I didntask my parents for seed money, though.