article thumbnail

Fundraising Debt And How To Avoid It

YoungUpstarts

Cunningham’s term was coined to identify a specific problem in the tech industry, but the fundamental concept is universal — Ben Horowitz, for example, took Cunningham’s concept and applied it to management structures. . betting on the future value of these young companies instead of their current traction. .

Cofounder 127
article thumbnail

Startups: Avoid These Inner-Series Mistakes When Scaling Your Business

YoungUpstarts

But to get to the finish line successfully, there are several key company milestones that leadership must identify and address. Series B: Hiring and Developing Managers. While additional personnel is crucial to scale the product, misaligned hires will increase burn rate without a concurrent jump in productivity and meaningful growth.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

The Virus Survival Strategy For Your Startup

Steve Blank

They have fewer cash reserves and less margin of error for managing sudden downturns. The questions every startup or small business CEO needs to ask now are: What’s my Burn Rate and Runway? Burn Rate and Runway. Subtract your monthly gross burn rate from your monthly revenue to get your net burn rate.

Burn Rate 436
article thumbnail

From Fat to Fit: Startups Must Navigate Back to Fundamentals to Achieve Long-term Success 

The Startup Magazine

While many startups acknowledged the importance of unit economics, metrics like gross margin, payback period, and burn rate were often ignored or manipulated in anticipation of future “magical” improvements to the core metrics. However, skepticism emerged regarding potential manipulation of these figures.

article thumbnail

Twitter Link Roundup #238 – Small Business, Startups, Innovation, Social Media, Design, Marketing and More

crowdSPRING Blog

These posts and videos are about logo design , web design , startups, entrepreneurship, small business, leadership, social media, marketing, and more! Refocusing the Startup Burn Rate Debate | OpenView Blog – crowdspring.co/1n8paLq. 44 engineering management lessons – crowdspring.co/1x7TVkf.

article thumbnail

How to Manage Cash Flow in a Crisis

Up and Running

For small businesses, cash flow management in a crisis is absolutely vital. With your forecast in hand, you can anticipate how far things will fall, and identify the best ways to react: Figure out your burn rate and runway : How quickly are you using up your cash reserves and how long do you have before you run out of cash?

article thumbnail

Critical Key Performance Indicators (KPIs) for Founders

Up and Running

Get input from analysts, department heads, managers, and other team members that need to act on the information. . For example, leadership can use high-level KPIs to measure the overall performance of the company, and managers can use granular KPIs to gauge the effectiveness of processes, such as sales, marketing, or procurement.

Founder 71