Word to Know:
Burn Rate - How fast a startup spends money.
Lower rates = longer runway.
0 replies14 likes
More like this
Recommendations from Medial
Santhosh Gandhi
Venture Capital Focu...ย โขย 2m
Startups donโt die because they have bad ideas. Most die because they run out of money. And thatโs 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 โ Know Before You Run Out
Itโs easy to raise funding and feel like youโve got time. But founders often forget how quickly money disappears. Burn rate and runway tell you how long your startup can actually survive.
Breakdown:
1๏ธ
The Reserve Bank of India (RBI) reduced the repo rate by 25 basis points to 6.25%, the first rate cut in nearly five years.
What is the repo rate?
Itโs the rate at which the RBI lends money to commercial banks. A lower repo rate means cheaper loans
โ Must for Business Students
๐ฅ10 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
See More
2 replies3 likes
Vedant Tiwari
Founder of VedspaceA...ย โขย 3m
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
See More
4 replies10 likes
Swapnil gupta
Founder startupsunio...ย โขย 18d
๐ฅ10 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 Value (LTV)
8. Churn Rate
9. Unit
See More
0 replies5 likes
Inactive
AprameyaAIย โขย 10m
Top 10 Metrics for Startups
๐ Customer Acquisition Cost (CAC): How much does it cost you to gain a customer?
๐ Lifetime Value (LTV): The total worth of a customer over their entire relationship with your business.
๐ Burn Rate: How quickly are y
๐๐๐ฟ๐ป ๐ฟ๐ฎ๐๐ฒ ๐ถ๐ป ๐ฎ ๐๐๐ฎ๐ฟ๐๐๐ฝ :
The amount of cash a company is losing per month. Itโs essentially the negative cash flow of the business.
Let's understand this with some maths :
Suppose a startup has 1,000,000 Rs in the bank and spends