Remove Churn Rate Remove Early Stage Remove Framework Remove Revenue
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So What is The Right Level of Burn Rate for a Startup These Days?

Both Sides of the Table

It’s a very personal topic and I’d like to offer you a framework to decide for yourself, based on the following factors: How Long is it Taking to Raise Capital at Your Stage in the Market? ” and if anybody gives you a specific number I would be a bit skeptical because there is no universal answer.

Burn Rate 150
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VCs eating our own dog food: Using technology and analytics to make better investments

David Teten

Data companies focused on early-stage startups include Aingel , fundsUP , Preseries , PredictLeads , and Sploda. The Pocket Negotiator is very early-stage attempt to aid in the negotiating process itself. Lighter Capital, a Revenue Based Investing VC, offers a Cost of Capital Calculator.

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Lean Analytics

Startup Lessons Learned

Here's what they have to say about churn rates in SaaS businesses: The best SaaS sites or applications usually have churn ranging from 1.5% Mark MacLeod, Chief Corporate Development Officer at Freshbooks, says that you need to get below a 5% monthly churn rate before you know you’ve got a business that’s ready to scale.

Analytics 167
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Cracking The Code: The Bessemer 10 laws of SaaS - Fall 2008.

Cracking the Code

Be prepared to cross the desert - SaaS requires R&D and sales expense up front for a multi-year stream of revenue, so it demands enough investment capital to fund 4+ years of runway. Farming is also often overlooked, but can help grow customer accounts and revenues from 30% upwards (if successful). Great list! Philippe Botteri.

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Crazy! 189 Answers To The Top Startup Questions On Your Mind

maplebutter.com

I would focus on one product and set a goal to generate $1M in yearly revenue from it. Outsourcing is something a big company, with a known customer / problem (that has revenue & traction) does to save cost. When it comes to early stage investing – it’s all gut. Once you’ve done that – then. do something else.