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5 Keys To Minimizing The Burn Rate For Your Startup

Startup Professionals Musings

Cash flow is a basic survival metric for every startup. Investors check your burn rate to assess your efficiency, and project your remaining runway before you run out of money and into a brick wall. It doesn’t take a financial genius to recognize that you need to keep your burn rate low. You will make mistakes.

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What is the Right Burn Rate at a Startup Company?

Both Sides of the Table

I was reading Danielle Morrill’s blog post today on whether one’s “ Startup Burn Rate is Normal. I love how transparently Danielle lives her startup (& encourages other to join in) because it provides much needed transparency to other startups. Gross Burn vs. Net Burn.

Burn Rate 383
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5 Keys To A Viable Spending Rate And Cash Management

Startup Professionals Musings

Cash flow is a basic survival metric for every startup. Investors check your burn rate to assess your efficiency, and project your remaining runway before you run out of money and into a brick wall. It doesn’t take a financial genius to recognize that you need to keep your burn rate low. You will make mistakes.

Burn Rate 258
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Startup Runway Length Depends on Your Burn Rate

Startup Professionals Musings

Cash is the fuel of every startup. Your burn rate is the rate at which that money is being spent, and allows an estimate of how long you can go before refueling (runway). Investors also look at your burn rate to see how efficient and effective you are at running the business. Which would you bet on?

Burn Rate 232
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High Burn Rates Result in Short Startup Runways

Startup Professionals Musings

Cash is the fuel of every startup. Your burn rate is the rate at which that money is being spent, and allows an estimate of how long you can go before refueling (runway). Investors look at your burn rate to see how efficient and effective you are at running the business. Which would you bet on?

Burn Rate 231
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5 Ways To Conserve Investor Cash And Ensure Survival

Startup Professionals Musings

Cash flow is a basic survival metric for every startup. Investors check your burn rate to assess your efficiency, and project your remaining runway before you run out of money and into a brick wall. It doesn’t take a financial genius to recognize that you need to keep your burn rate low. You will make mistakes.

Burn Rate 310
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8 Questions You Should Ask Before You Join A Startup

Startup Professionals Musings

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Early stage burn rates over $50K per month, or a runway of less than six months may indicate an inefficient or desperate startup.