Up and Running

JULY 22, 2014

It’s a table that lists all of your revenue streams and all of your expenses—typically for a three-month period—and lists at the very bottom the total amount of net profit or loss. A typical profit and loss statement should include: your revenue (also called sales), followed by. how you make money.

Balance Sheet 148

Balance Sheet Forecast Equity .Net 148

Berkonomics

AUGUST 10, 2017

Fixed overhead for salaries, rent, equipment leases and more make up the majority of the “burn rate” (monthly expenses) for most companies. Although young companies rarely measure profitability this repeatedly, more mature companies usually can bring from five to ten percent of revenues to the bottom line in the form of net profit.

Silicon Valley 97

Silicon Valley Burn Rate Angel Investor Down Round 97

David Teten

NOVEMBER 23, 2020

– Interaxon Muse sells a brainwave-controlled computing technology and applications, and a hardware/software platform that converts brain waves into digital signals for meditation, games, sleep improvement, and disability assistance. The founding team earned a good salary during most of their ride; they’ll probably be OK.

Venture Capital 60

Venture Capital Partner Technical Review Cofounder 60

Duct Tape Marketing

JUNE 7, 2023

Over the past two decades, she has led large revenue-producing divisions at businesses ranging from start-ups to the Fortune 500. After their salary is having the necessary tools to do their job, right? [15:11] Over the past two decades, she has led large revenue producing divisions at businesses ranging from startups to Fortune 500.

Employee 73

Employee Technical Review Advisory Board Sales 73

David Teten

NOVEMBER 26, 2019

Howell, Professor of Business Administration at Tuck, writes that you should turn your budgeting process upside down by “reformat[ting] planning and budgeting templates to highlight cash rather than accounting net income.”. due to inflation, salary increases) to maintain margin in an environment of downward pressure on prices.

Agile 60

Agile Management Forecast Silicon Valley 60

Both Sides of the Table

APRIL 27, 2010

I didn’t mean to be so insulting and I didn’t mean for the net to be cast so wide that many people wondered whether I was talking about them when I was speaking of “job hoppers.&# I learned a lot from reading the comments. But in these years I learned how to sell software – necessity is the mother of all invention.

Venture Capital 285

Venture Capital Hiring Software Review Stock Options 285

Software By Rob

NOVEMBER 18, 2008

Software by Rob Passionate about Startups and MicroISVs Lessons Learned by a Serial Entrepreneur home about press micropreneurs archives ← I’m in a Book! Most developers start as salaried employees, slogging through code and loving it because they never imagined a job could be challenging, educational, and downright fun.

Software Review 42

Software Review Software Product Salary 42

ConversionXL

AUGUST 12, 2016

A flowing sales funnel is crucial in any business, but even more so with SaaS businesses… Unlike other business models, revenue is generated over an extended period of time. Monthly Recurring Revenue (MRR). Monthly Recurring Revenue, or MRR, is a measure of the predictable and recurring revenue of your subscription business.

Software Review 48

Software Review Metrics Revenue Acquisition 48

David Teten

DECEMBER 16, 2015

The most common financial metrics ffVC asks companies to compare vs. budget are: Gross Revenue. Net Income (Loss). Monthly Recurring Revenue (MRR). Net MRR Churn %. Average Revenue Per Account. And it means holding yourself and others rigorously accountable, which can be painful. So how do you do it? Gross Profit.

Metrics 60

Metrics Analytics Balance Sheet .Net 60

A Smart Bear: Startups and Marketing for Geeks

JULY 23, 2013

Marketo filed for IPO with impressive 80% year-over-year growth in 2012, with almost $60m in revenue. of revenue, force-feeding sales pipelines with an unprofitable product. SaaS companies earn their revenue over time. time to earn back the revenue to cover all your customer acquisition expenses) 75% annual retention.

Business Model 335

Business Model .Net Revenue IPO 335

Occam's Razor

FEBRUARY 25, 2013

Every post is about unleashing the power of digital analytics (the potent combination of data, systems, software and people). What is the incremental revenue impact on the company's bottom-line for the investment in data, systems and people? Ok, ok, you plus the hardware, software, army of consultants and BFFs. :).

Analytics 142

Analytics DC Web Revenue 142

Up and Running

AUGUST 30, 2017

Like it or not, this will likely affect your revenue and enrollment, especially if you are offering part-time care. Make sure to find out if it is a gross or net rate. Gross includes everything, but net doesn’t include the following: Property taxes. Software costs. What is your business model? This adds up to $100,000.

Business Plan 93

Business Plan SBA Software Review Advisory Board 93

Cracking the Code

JANUARY 22, 2009

Thoughts from a Venture Capitalist on Software, Software-as-a-Service (SaaS), Cloud Computing, Internet and more. While it may make sense to offer very slight adjustments for favorable payment terms and one time revenue, net additions to MRR should dominate the sales rep’s thoughts. Cracking The Code.

Software Review 91

Software Review Clawback Sales Salary 91

VC Cafe

MARCH 11, 2010

If the stock falls during those months, all that blood, sweat and tears can equate to a little more than a salary for the management team. Revenue inched up only two percent to $65.1 Net income did however increase to $9.8 million in 2009. By contrast, sales had jumped 43 percent the year before. million last year, from $6.2

IPO 68

IPO SEC Initial Public Offering Stock 68

Austin Startup

AUGUST 29, 2017

A 1992 study from the Harvard Business Review found that the right pricing changes can drive revenue and profit improvements faster than any other growth lever — faster than increasing the volume of sales or decreasing costs. At worst you will destroy hard earned revenue and/or profit. The importance of price. Let’s break this down.

Differentiation 54

Differentiation Virginia .Net B2C 54

Startup Professionals Musings

NOVEMBER 3, 2014

Spend the absolute minimum for what you need (equipment, software, and services) to keep your business running. Most startup founders already do this, rather than take a salary, to improve their offering. Take little to no net profit. Don''t justify over-spending initially with "long-run" thinking.

Bootstrapping 278

Bootstrapping Startup Merger Salary 278

Board Effect

SEPTEMBER 20, 2019

That’s a very good reason to start up a nonprofit organization using board management software by BoardEffect. Nonprofits that have revenues in excess of $25,000 per year must file an annual report on Form 990 with the IRS. IRS Form 990 asks for information on the nonprofit’s income, expenses and staff salaries that are over $50,000.

Software Review 45

Software Review Government Distribution Sales 45

Both Sides of the Table

JUNE 17, 2017

If you hire 6 senior sales reps in January at $120,000 / year salary then you’ve taken on an extra $60,000 per month in costs yet these sales people might not close new business 6 months. Revenue When I look at an income statement I start by focusing on the revenue line. You need to understand the “quality” of the revenue.

Stock Options 227

Stock Options Startup Dilution Venture Capital 227

Berkonomics

MARCH 30, 2010

Fixed overhead for salaries, rent, equipment leases and more make up the majority of the “burn rate” (monthly expenses) for most companies. Although young companies rarely measure profitability this repeatedly, more mature companies usually can bring from five to ten percent of revenues to the bottom line in the form of net profit.

Silicon Valley 85

Silicon Valley Burn Rate Angel Investor Down Round 85

Up and Running

AUGUST 21, 2014

The other thing that they’re going to ask you is average revenue per account or per user or per customer. You need to understand how much money is brought in by each individual account or user when looking at the overall revenue. It’s what’s going to make you most attractive to an investor. If we increase our-.

Metrics 84

Metrics Startup Churn Rate Forecast 84

A Smart Bear: Startups and Marketing for Geeks

SEPTEMBER 4, 2012

Welcome back to Smart Bear Live, the call-in show with Jason Cohen, sponsored by Software Promotions. And please tweet your thanks to Software Promotions for sponsoring Smart Bear Live! Dan: Member Desk is a hosted membership site software. In this episode, we share three more interviews from our AZ Disruptors meeting last fall.

Cofounder 199

Cofounder Technical Review Chicago Technical Cofounder 199

Startup Professionals Musings

APRIL 23, 2013

Spend the absolute minimum for what you need (equipment, software, and services) to keep your business running. Most startup founders already do this, rather than take a salary, to improve their offering. Take little to no net profit. Don''t justify over-spending initially with "long-run" thinking.

Equity 241

Equity Bootstrapping Startup Merger 241

Hippoland

OCTOBER 18, 2018

It’s just really hard to keep growing 30% MoM with large revenue numbers. There are low operational costs – software has high margins, so you can often pour profits back into the business to keep growing (at least to a good level). And you can often pay vendors on a net 30 basis. But, I think that’s false.

Bootstrapping 90

Bootstrapping Cap Table Salary .Net 90

Up and Running

AUGUST 12, 2015

Recently, Palo Alto Software CEO Sabrina Parsons hosted a webinar for our Bcast members on how to use LivePlan to create a better business plan, pitch your idea to investors, and track your business. What is revenue going to look like? I want to have enough revenue to hire a manager. Planning makes me sleep better. It just is.

Forecast 60

Forecast Video Business Plan United States 60

Up and Running

MAY 1, 2014

Here at Palo Alto Software, our mission statement is this: “We help people succeed in business.” An online software company might look at churn rates (the percentage of customers that cancel) and new signups. The personnel plan will also include what is typically called “employee burden”, which is the cost of an employee beyond salary.

Business Plan 163

Business Plan Forecast Balance Sheet Distribution 163

Startup Professionals Musings

NOVEMBER 26, 2012

The founders now need a $1M Angel investment to do the marketing for a national NewCo rollout, build a team to manage the rollout, and maybe even pay themselves a salary. Particularly valuable are recurring revenues, like subscription amounts, that don’t have to be resold every period. Assign real value to intellectual property.

Valuation 270

Valuation Pre-Money Valuation NPV Intellectual Property 270

Gust

OCTOBER 26, 2014

Spend the absolute minimum for what you need (equipment, software, and services) to keep your business running. Most startup founders already do this, rather than take a salary, to improve their offering. Take little to no net profit. Don’t justify over-spending initially with “long-run” thinking.

Bootstrapping 176

Bootstrapping Startup Merger Salary 176

Women Entrepreneurs Can

JANUARY 5, 2021

For instance, managing things like salary and hourly wages, overtime, employee tax withholding deductions, accounting is quite challenging and time-consuming. Similarly, having payroll solutions for your business will help you maintain compliance with the tax code and ultimately help you save your overall business revenue.

Salary 52

Salary United States Employee .Net 52

Cracking the Code

OCTOBER 10, 2008

Thoughts from a Venture Capitalist on Software, Software-as-a-Service (SaaS), Cloud Computing, Internet and more. “Just say no” to on-premise deployments The most important part of Software-as-a-Service isn’t “Software” it’s “Service”! Cracking The Code. at 11:09 AM.

Software Review 48

Software Review North America Europe Metrics 48

Startup Professionals Musings

SEPTEMBER 26, 2010

Spend the absolute minimum for what you need (equipment, software, and services) to keep your business running. Most startup founders already do this, rather than take a salary, to improve their offering. Take little to no net profit. Don't justify over-spending initially with "long-run" thinking.

Bootstrapping 240

Bootstrapping Merger Salary .Net 240

Startup Professionals Musings

SEPTEMBER 30, 2011

The founders now need a $1M Angel investment to do the marketing for a national NewCo rollout, build a team to manage the rollout, and maybe even pay themselves a salary. Particularly valuable are recurring revenues, like subscription amounts, that don’t have to be resold every period. Assign real value to intellectual property.

Pre-Money Valuation 246

Pre-Money Valuation Valuation NPV Intellectual Property 246

paulgraham.com

SEPTEMBER 23, 2012

Writing software is a great way to solve (b), but you can still end up constrained in (a). If you write software to teach Tibetan to Hungarian speakers, youll be able to reach most of the people who want it, but there wont be many of them. If you make software to teach English to Chinese speakers, however, youre in startup territory.

Startup 111

Startup Technical Review Software Review Acquisition 111

Software By Rob

JANUARY 7, 2009

I ruffled a few feathers with my recent post The Software Product Myth. The unrest surrounded my statement that making $2500/month from your software product wouldn’t allow you to quit your day job. As I said in The Five Minute Guide to Becoming a Freelance Software Developer , an accountant is not an optional expense.

Software Review 52

Software Review Software Hosting Salary 52

Hippoland

OCTOBER 18, 2018

It’s just really hard to keep growing 30% MoM with large revenue numbers. There are low operational costs – software has high margins, so you can often pour profits back into the business to keep growing (at least to a good level). And you can often pay vendors on a net 30 basis. But, I think that’s false.

Bootstrapping 48

Bootstrapping Cap Table Salary .Net 48

Gust

NOVEMBER 18, 2012

The founders now need a $1M Angel investment to do the marketing for a national NewCo rollout, build a team to manage the rollout, and maybe even pay themselves a salary. Particularly valuable are recurring revenues, like subscription amounts, that don’t have to be resold every period. Assign real value to intellectual property.

Valuation 187

Valuation Pre-Money Valuation NPV Intellectual Property 187

Startup Professionals Musings

SEPTEMBER 6, 2010

The founders now need a $1M Angel investment to do the marketing for a national NewCo rollout, build a team to manage blogs and other resources, and maybe even pay themselves a salary. Particularly valuable are recurring revenues, like subscription amounts, that don’t have to be resold every period. 500K might be a low estimate.

Valuation 234

Valuation Pre-Money Valuation NPV Startup 234

Up and Running

DECEMBER 9, 2014

For this discussion, we were joined by CEOs Jared Hecht of Fundera, Joshua Reeves of ZenPayroll, Matt Rissell of TSheets, and our own Sabrina Parsons of LivePlan and Palo Alto Software. Then now into TSheets which is a subscription based software with a much different model so again thank you for having us, having me on the panel.

Small Business 95

Small Business Finance Forecast Metrics 95