Cost Down Round Finance Operations 
Berkonomics
OCTOBER 5, 2023
What most managers miss is that every month cut from the time it takes to perform such tasks cuts the cost by the value of a month’s worth of fixed overhead or burn. Ignoring the cost of product for a moment to make a point, saving a month’s fixed overhead by making processes more efficient, could easily double profits for the year.
ReadWriteStart
JUNE 1, 2020
Reasons for funding. ? Scale up your operations. One of the most prominent reasons for funding is to scale up your operations, for expansion and achieve economies of scale. Now you may want to scale up your operations or expand your presence. The third reason is to fund your short term operational expenses or working capital.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Berkonomics
AUGUST 10, 2017
What most managers miss is that every month cut from the time it takes to perform such tasks cuts the cost by the value of a month’s worth of fixed overhead or burn. Ignoring cost of product for a moment to make a point, saving a month’s fixed overhead by making processes more efficient, could easily double profits for the year.
Both Sides of the Table
JUNE 22, 2011
New investors hate down rounds. Or worse yet they may never get financed. Raise at “ the top end of normal &# but not so high that future financings in a corrected market become impossible. They will enter the “triage phase&# of the market where they figure out which of their existing deals will survive.
Berkonomics
MARCH 30, 2010
What most managers miss is that every month cut from the time it takes to perform such tasks cuts the cost by the value of a month’s worth of fixed overhead or burn. It is not a strong bargaining position for the CEO to ask for money to complete a product promised for completion with the previous round of funding.
Growthink Blog
MAY 23, 2011
The typical wisdom regarding the appropriate financing course for a new company goes as follows: 1. This venture capital financing - usually between $3 and $10 million - is the first of a number of rounds of outside investment over a period of three to five years. There are a lot of dark, hard days.
David Teten
AUGUST 7, 2019
“You could argue that when they were [raising] oversubscribed [VC rounds], Facebook, Google, Amazon, etc., The reverse also holds: a Value investment can become Momentum, and then follow with a down round. If the Founder continues to be weak at follow-on financing, that “value trap” can hinder their continued growth. .
Expert insights. Personalized for you.
118 
Let's personalize your content