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Lean Startups aren't Cheap Startups

Steve Blank

For those of you who have been following the discussion, a Lean Startup is Eric Ries ’s description of the intersection of Customer Development , Agile Development and if available, open platforms and open source. Over its lifetime a Lean Startup may spend less money than a traditional startup. What’s the customer acquisition cost?

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What is the Right Burn Rate at a Startup Company?

Both Sides of the Table

So if your costs are $500,000 per month and you have $350,000 per month in revenue then your net burn (500-350) is equal to $150,000. Gross margin (GM) is the amount of profit you make per sale of your product or service taking into account your total costs of selling that product or service. Startup Lessons'

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On Bubbles … And Why We’ll Be Just Fine

Both Sides of the Table

New investors hate down rounds. When your competition does irrational things to grow fueled by low-cost capital it makes it harder for you to compete by playing by the conventional rules. If you are interested the Vimeo is here. Many good companies will not get funded. Vultures will start circling looking for deals.

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Startup Funding – A Comprehensive Guide for Entrepreneurs

ReadWriteStart

It is going to cost a lot of money just to get the initial batch of products to test the market and would definitely require external funding. Bootstrapping inculcates the entrepreneurial discipline and financial responsibility to run a lean business. ? Both of which are expensive and time-consuming. Crowdfunding.

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Twitter Link Roundup #178 – Small Business, Startups, Innovation, Social Media, Design, Marketing and More

crowdSPRING Blog

How a 1-Page Business Model Will – and Won’t–Help Your Lean Startup | by Kevin Dewalt – [link]. The Damaging Psychology of Down Rounds | by Mark Suster – [link]. Hospital Prices No Longer Secret As New Data Reveals Bewildering System, Staggering Cost Differences – [link]. “Embrace skeptics.

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People-First Capitalism

Reid Hoffman

We can either try to step forward and be progressive and really try to lean forward, or we can get dragged in the future. The burden [should] just be that we care; that if we learn something, we improve it, and that we don’t only use single output metrics and its growth at all costs. And I also think about regulation.

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An Inside Scoop on the Funding Environment and What it Might Mean for You

Both Sides of the Table

Like the market, Invoca has learned the importance of pragmatic growth over “growth at all costs” because when markets shift companies that run lean always have more options than those that only have a growth agenda. The company has rediscovered frugality and knows the value of a strong balance sheet.