Guysss... How to calculate the burn rate? like a initial startup... who's in initial stages... And a investor asking how much you need???
as our last post, a lot of you suggested some of the great ideas.... thanks for that... one of them was, burn
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Vikas Acharya
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Medial • 6m
Word to Know:
Burn Rate - How fast a startup spends money.
Lower rates = longer runway.
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:
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✅ Must for Business Students
🥇10 Most Important metrics that are asked by investors.
1. Revenue Growth Rate
2. Monthly Recurring Revenue (MRR)
3. Burn Rate
4. Cash Runway
5. Gross Margin
6. Customer Acquisition Cost (CAC)
7. Customer Lifetime Val
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Vikas Acharya
Building WelBe| Entr... • 4m
WTF is RUNRATE ?
Run Rate
A financial projection of your yearly revenue or expenses based on current performance.
Example: If your startup earns ₹100,000 in one quarter, your annual run rate would be ₹400,000.
Why it matters: Helps forecast growth