article thumbnail

Top Startup Mistake: Unrealistic Forecasts

Up and Running

When I asked the standard “How are you,” he answered: “If I see another hockey stick forecast this week, I’m going to throw something at somebody.”. That was so long ago that I had to ask him to explain the hockey stick metaphor. ” See Also: How to Forecast Sales. .” Growth is good.

Forecast 130
article thumbnail

Sales Forecasting: A Curated List of Our Best Resources

Up and Running

When it comes to starting and managing a business, forecasting your sales is essential. Having a sales forecast can help you budget and manage your business’s funds, create a plan for expansion, and avoid unpleasant surprises. The basics of sales forecasting. How to Forecast Sales. Just Do a Sales Forecast.

Insiders

Sign Up for our Newsletter

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

article thumbnail

What Makes a Sales Forecast Credible?

Up and Running

So for me, what makes a sales forecast credible? It starts with product market fit. I want to see a sales forecast with drivers. So if your numbers are here, going up in a hockey stick—and let’s just say this is your hockey stick—and your marketing expenses go up, and how do I do?

article thumbnail

Flexible VC, a New Model for Companies Targeting Profitability

David Teten

In all these cases, capital is provided to fuel forecasted growth without creating a commitment to a particular vision for future funding rounds, exit goals, and associated blitzscaling. Early-stage: Cofounder with engineering/ product background from top-tier university or major technology company. The State of Flexible VC.

article thumbnail

Angel Investment Criteria

SoCal CTO

Bob is heavily focused on ROI (and team/product). In his recent post, Top 10 Ways to Win a Business Plan Competition , he says: #4 I wanted to push this further down the list, but I just bristle at this: the revenue forecast. But it seems like Bob would be a candidate. But, this is not my experience with Angel groups. So get real.

article thumbnail

8 Common Business Plan Mistakes

Up and Running

When you imagine a new business, you think of what it would cost to make the product, what you could sell it for, and what the profits per unit might be. Hockey stick” shaped growth projections. Here’s how we suggest creating your sales forecast. Here’s a free downloadable Lean Plan Template to help. Cash flow casualness.

article thumbnail

How much of my business do I have to give to an investor?

Berkonomics

Careful about “hockey stickforecasts. Later stage investors sometimes look for less, since the business has already proven its capability to stay in the game and has already completed its product development cycle, eliminating more risk for the investor. How much money can you get? .