David Teten

AUGUST 19, 2019

So you’re interested in raising capital from a Revenue-Based Investor VC. A new wave of Revenue-Based Investors (“RBI”) are emerging. For background, see Revenue-Based Investing: A New Option for Founders who Care About Control. Rational burn profile, up to 50% of revenue at close, scaling down. Bigfoot Capital.

Revenue 60

Revenue Technical Review Software Review Equity 60

Startup Professionals Musings

OCTOBER 5, 2014

Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. Waiting until you have something to sell before bringing on a sales and operations staff.

Burn Rate 262

Burn Rate Hockey Stick Entrepreneur Salary 262

Startup Professionals Musings

FEBRUARY 21, 2012

Pay people with equity or future revenue. When I was interviewed for my first startup CEO job, I was expecting a $150,000 salary, but instead was offered an opportunity to contribute $50,000 to the business, and work for equity only. Another one to avoid cash burn for software development is a contract for percent of future revenue.

Burn Rate 232

Burn Rate Startup Salary Equity 232

Both Sides of the Table

DECEMBER 27, 2011

If you hire 6 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 for 4-6 months. So your Q1 results will be $180,000 less profitable than if you hadn’t hired them. Simplifying: Revenue -. Operating Costs.

Startup 418

Startup Revenue Technical Review Flash 418

Up and Running

JULY 28, 2022

Not only do these requirements ensure that businesses operate within the law but it also protects small business owners and their consumers. . A small business is an independently owned and operated entity that engages in commercial activity and fulfills the set industry-specific size standards. What legally defines a small business?

Small Business 167

Small Business Intellectual Property Cofounder Software Review 167

Startup Professionals Musings

JANUARY 28, 2011

Pay people with equity or future revenue. When I was interviewed for my first startup CEO job, I was expecting a $150,000 salary, but instead was offered an opportunity to contribute $50,000 to the business, and work for equity only. Another one to avoid cash burn for software development is a contract for percent of future revenue.

Burn Rate 231

Burn Rate Startup Salary Equity 231

Startup Professionals Musings

SEPTEMBER 14, 2016

Deferred payments start with stretching the payables period but, more importantly, include giving employee equity in lieu of a higher salaries and negotiating vendor deferred payments out of future revenues. Waiting until you have something to sell before bringing on a sales and operations staff.

Burn Rate 120

Burn Rate Hockey Stick Startup Salary 120

crowdSPRING Blog

JANUARY 27, 2013

We write often about ways small business can reduce expense, increase productivity, and operate more efficiently through a lean approach to marketing, technology, and operations. Today I want to write briefly about a strategy we have used to very good effect when hiring new workers: outsource. Reduce, reduce, reduce.

Lean 99

Lean Hiring Salary United States 99

Up and Running

FEBRUARY 16, 2022

Due to the nature and growing popularity of online fitness, you should also include how you will differentiate your business and specifically operate in the online space. How it has evolved, popular trends, such as online workouts, exercises, and on-demand fitness content, and relate it back to how you will operate in this market.

Business Plan 81

Business Plan Software Review Demand Operations 81

Startup Professionals Musings

FEBRUARY 15, 2023

Most new teams are geographically dispersed these days anyway, so paying rent for an office should be differed to later stages when revenue is plentiful. With the unlimited access to “how-to” videos and detailed instructions on the Internet, you shouldn’t need to hire experts for most things.

Equity 349

Equity Hockey Stick Bootstrapping Sweat Equity 349

Duct Tape Marketing

OCTOBER 8, 2023

Imagine wielding the power of a marketing wizard without having to afford their six-figure salary. Benefits of Hiring a Fractional CMO If you’re a business owner, the thought of hiring a full-time Chief Marketing Officer (CMO) may have crossed your mind. That’s exactly what becoming a fractional CMO is all about.

Technical Review 74

Technical Review Retention Networking Leadership 74

ReadWriteStart

FEBRUARY 21, 2021

In many cases, digital marketing offers a return on investment (ROI) of many times your initial capital, meaning $1,000 per month in spending could turn into $3,000 per month in revenue. Adopting a fully remote model means you’ll be able to hire people all over the world, greatly increasing your potential talent pool.

Startup 106

Startup Software Review Open Source Technical Review 106

Up and Running

JUNE 1, 2021

It’s even possible for many of them to be revenue-neutral or better. Here’s an explanation of what conditions make an employee benefit revenue-neutral and a look at the five best options for businesses in a post-pandemic hiring environment. What is a revenue-neutral benefit?

Revenue 150

Revenue Employee Small Business Matching 150

ReadWriteStart

JANUARY 26, 2021

That’s because more than half of all startups fail within the first five years of operation. The solution is to start generating consistent revenue faster or to work with angel investors or venture capitalists to get more funding. Too many startups hire quickly and with reckless abandon. Lack of Market Need. The Wrong Team.

Startup 180

Startup Angel Investor Business Model Demand 180

Hearpreneur

JANUARY 1, 2023

As I've taken the time to invest in companies and programs that can manage various facets of my business on my behalf, I've been able to increase my revenue and provide better financial insulation for my firm to help it withstand the negative effects of a recession. This will keep them sustainable should revenues take a dive.

Entrepreneur 96

Entrepreneur Software Review Technical Review Revenue 96

OnlyOnce

AUGUST 3, 2023

(Post 1 of 4 in the series of Scaling CPO’s) In most startups, the HR function starts out as tactical, because you have to get people hired and paid, and while you might have a founder or early-stage employee who can do these things, often these tasks are frequently outsourced to a PEO. But those things won’t help you scale.

Hiring 62

Hiring Metrics Leadership Early Stage 62

Startup Professionals Musings

FEBRUARY 5, 2010

Pay people with equity or future revenue. When I was interviewed for my first startup CEO job, I was expecting a $150,000 salary, but instead was offered an opportunity to contribute $50,000 to the business, and work for equity only. Another one to avoid cash burn for software development is a contract for percent of future revenue.

Burn Rate 120

Burn Rate Startup Salary Equity 120

Startup Professionals Musings

MAY 18, 2020

Most new teams are geographically dispersed these days anyway, so paying rent for an office should be differed to later stages when revenue is plentiful. With the unlimited access to “how-to” videos and detailed instructions on the Internet, you shouldn’t need to hire experts for most things.

Hockey Stick 423

Hockey Stick Bootstrapping Sweat Equity Intellectual Property 423

The Startup Magazine

MAY 24, 2022

So if you want to improve how your company operates and how much revenue it brings in, you will need the appropriate and best hiring strategy. But there’s more to hiring someone than just finding the right fit for each of your company’s vacant posts. Hiring people faster not only gets tasks done sooner.

Salary 125

Salary Hiring Engineer Sales 125

Duct Tape Marketing

APRIL 18, 2024

With her expertise, she’s boosted hundreds of agencies to millions in revenue, attracting premium clients willing to pay 50-600% fees. You could choose our system to move from vendor to trusted advisor, attract only ideal clients, and confidently present your strategies to build monthly recurring revenue.

Framework 62

Framework Sales Cycle Sales Hiring 62

A Smart Bear: Startups and Marketing for Geeks

DECEMBER 21, 2009

If you had zero revenue from now on, on what date would you run out of money? Second, you know the length of your fuse even in event of disaster (if you have revenue) or if you never manage to land a customer (if you're just starting out). Which of your business operations do you hate? Cartoon by Andertoons.

Startup 315

Startup Revenue Cofounder Sales 315

Hearpreneur

JANUARY 19, 2022

Some businesses have had to change structures and make operational changes to thrive and survive. Although our in-person services were put on hold, our eCommerce products, including virtual services tripled in revenue. We had to make the difficult decision to cut down on staff and this allowed us to hire workers at lower rates.

Entrepreneur 119

Entrepreneur Metrics Technical Review North America 119

Women Entrepreneurs Can

FEBRUARY 21, 2020

Outsourced workers aim to perform their tasks well even during less desirable shifts, perhaps because they want to be hired for more projects in the future. Rather than allocating funds for the fixed cost of hiring full-time employees, you get to allot your budget on further developing your business and brand.

Small Business 52

Small Business Hiring Salary Web Development 52

YoungUpstarts

AUGUST 28, 2014

If you’re reaching the point where there just aren’t enough hours in the day, should you hire some employees and create an in-house team, or outsource as many roles as possible as you work to get your business to scale? Many businesses run a hybrid model mixing both in-house and outsourced operational support as they expand.

Hiring 189

Hiring New York City New York Forecast 189

A Smart Bear: Startups and Marketing for Geeks

FEBRUARY 26, 2013

No salaries followed by low salaries. The scrounging and scrabbling and begging and fighting the a s for those morsels of revenue, those crumbs of validation. Are you OK releasing control in day-to-day operations to managers, and then releasing control of the managers to your executive team? It’s over. We did it.

Software Review 295

Software Review Startup Cofounder Search 295

Steve Blank

MARCH 17, 2020

Here are a few thoughts about operating in uncertainty in a pandemic. And how much are variable expenses (salaries, consultants, commission, travel, AWS/Azure charges, supplies, etc.?). Next, take a look at your actual revenue each month – not forecast, but real revenue coming in each month. And what’s in my lifeboat?”.

Burn Rate 436

Burn Rate Startup Valuation Sales Cycle 436

Startup Professionals Musings

JANUARY 5, 2022

It's hard to hire good people because they already have a job. Ad revenue is still down as companies right-size marketing budgets. So the cheaper your company is to operate, the harder it is to kill. You'll be investing your time and energy into something with more potential upside in future. More available talent.

Startup 258

Startup Cofounder Salary Advertising 258

The Startup Magazine

JUNE 1, 2023

We’re hitting record revenue months, weeks, and margins. There are startups out there that are valued at a billion dollars, but because of employee salaries, assets, etc. Don’t be afraid to pivot The collapse of SVB spurred us to do a deep evaluation of how we’re generating revenue and value for customers.

Early Stage 112

Early Stage Los Angeles Silicon Valley Cofounder 112

The Startup Magazine

NOVEMBER 6, 2019

This means securing the funding, business premises, building your business presence online and hiring the perfect human resources. For those business owners, a common issue behind their refusal to hire employees, in the beginning, is the difficulty many of them face is finding the right fit for their organization.

Hiring 61

Hiring Employee Entrepreneur Salary 61

Up and Running

MAY 16, 2017

You can always upgrade all of these items as your business starts to bring in revenue. One of the most common mistakes a failed business can make is operating with either insufficient funds or poor fiscal management overall. Some corporations don’t reach break-even until their second or third year of operation, so be prepared for this.

Technical Review 82

Technical Review SBA Small Business Administration Software Review 82

Transformify

NOVEMBER 27, 2019

The ‘’Gig Economy’’ series sheds light on the future of work and the pros and cons of hiring freelancers and gig workers. Jim, lots of companies hire freelancers to complete short -term projects. Our guest today is Jim Barnish, Managing Partner, Morgan Hill Partners. Is this valid for Morgan Hill Partners, too?

Hiring 118

Hiring Africa Partner Differentiation 118

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. If you don’t have a strong balance sheet and can’t hire more people that’s fine — but understand this may lead to slower growth.

Stock Options 227

Stock Options Startup Dilution Venture Capital 227

Up and Running

FEBRUARY 25, 2016

“The biggest fundraising mistakes nonprofits make is underinvesting in their fundraising operations,” says Joe Garecht. “It For most organizations, if they are spending as much of their fundraising revenue as possible on providing programs and services, that is a good thing,” he continues. “But You can’t afford not to be picky.

Leadership 60

Leadership Government Operations Hiring 60

Up and Running

AUGUST 30, 2017

What criteria will you use in hiring staff? Like it or not, this will likely affect your revenue and enrollment, especially if you are offering part-time care. List an advisory board if you have one, list all employee salaries, incentives, referral bonuses for recruiting, and all such details. What’s your curriculum based on?

Business Plan 93

Business Plan SBA Software Review Advisory Board 93

Steve Blank

APRIL 1, 2020

Your revenue plans are no longer valid. What’s your monthly cash burn at your new low revenue level? Operating Numbers. The CEO should dial through as many of the largest existing customers to get a firsthand understanding of the magnitude of any revenue shortfall. The ripple effects won’t be obvious at first.

South Korea 333

South Korea Salary Business Model China 333

Seeing Both Sides

JULY 11, 2013

If you want to scale sales, you hire more sales reps. If the customer is a recurring customer, then they are more valuable and a lower quota might be tolerated, although a separate group of account reps are often accountable and paid commissions for the renewal revenue. I''ll discuss each one below. 1) Enterprise Sales.

Sales 50

Sales Technical Review Software Review B2B 50

The Next Web

AUGUST 30, 2013

The inspiration for my second post came from the many CEOs and entrepreneurs who come to me knowing they want to go after Asia and are aware of their target markets, but unsure of the best approach to start building out their operations on the ground. Hire the right people – local and entrepreneurial. Nothing gets done otherwise.

Asia 129

Asia Operations Indonesia Thailand 129