Atleast one year runway for all expenses of founding team and have buffer for additional hiring which may happen alongside.
And right time to start prepare for or switching to another company would be when you know only 6 months runaway is left
A platform where any person can share his salary and if he shares his monthly expenses, then the system will prepare his monthly saving and investing budget for him by the use of data analyst and ai
Struggling to budget your rent? A good rule of thumb is to keep your rent at **30% of your monthly income** or less. This ensures you have enough left for savings and other expenses!
5 replies3 likes
Santhosh Gandhi
Venture Capital Focu... • 3m
Startups don’t die because they have bad ideas. Most die because they run out of money. And that’s exactly why understanding Burn Rate and Runway is crucial.
Burn Rate is the amount of money a startup spends every month to operate salaries, rent, ma
Burn Rate vs Runway – Know Before You Run Out
It’s easy to raise funding and feel like you’ve got time. But founders often forget how quickly money disappears. Burn rate and runway tell you how long your startup can actually survive.
Breakdown:
1️
Doodhwala, an Indian startup for milk and grocery delivery, failed due to several critical missteps. The company faced persistent 𝐧𝐞𝐠𝐚𝐭𝐢𝐯𝐞 𝐜𝐚𝐬𝐡 𝐟𝐥𝐨𝐰, with expenses exceeding revenues due to high operational costs and excessive marketi
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0 replies6 likes
Vishu Bheda
•
Medial • 5m
Keith Rabois: “I tell founders not to worry about runway. Worry about lift.”
Runway (money/time left) is just a tool to achieve lift (traction & growth).
But if extra runway doesn’t help you hit traction, it’s useless.
Don’t raise funds just to “
One of the best tactics to stay ahead in the AI age is to force yourself to use it for literally anything you can.
If you aren’t using it for atleast 2-3 hours a day you will be one of the ones left behind
💡 How to Calculate Your Funding Requirements
Do not Raise too little or too much! Ways to strike the right balance:
1️⃣ Identify Key Milestones
Example: Launching a new product, acquiring 1,000 paying customers, or expanding into a new market.
2️