Golden Nugget for Entrepreneurs
In my POV, loans are ideal for early-stage businesses to build progress before pitching to VC, but remember, loans come with risk:
โข Loans help you establish your business, manage cash flow, and achieve short-term
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Anonymous 2
Hey I am on Medialย โขย 3m
I think you should only take a loan where you are already a high rev generating company. And if you are a cash burn company then equity funding is best
0 replies1 like
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Recommendations from Medial
Vansh Arora
Investor | Entrepren...ย โขย 1y
Name a company, apart from Jio and Zomato, that got successful with a high burn model
โ New day.
โ New startup.
โ New funding.
โ ๐ฅ Fresh cash burn !
โ๏ธ No regret. No remorse.
2 replies4 likes
Amanat Prakash
Building xcesย โขย 1m
Day 1 Business Terms
1. Revenue vs. Profit โ "Revenue is what you earn, profit is what you keep. A startup making โน10L/month in revenue but spending โน9.5L has only โน50K profit. See the difference?"
2. Burn Rate โ "How fast are you burning cash? I
Unikon.ai, which offered an AI-powered networking platform, is pivoting due to high cash burn and now plans to build a D2C brand
๐ค๐ค
5 replies11 likes
NARESH VASTRAKAR
Focusย โขย 5m
[This post has been deleted by the creator]
0 replies1 like
Omkart
A SMM posting useful...ย โขย 1m
what does Burn rate mean in startup ecosystem?
It is the rate at which the startup is using its raised capital to fund its overheads before generating any positive cash flow/sales.
what does Debt Financing mean?
A company can raise funds by issue
Complicated Business Terms Simplified
PART 2
1๏ธโฃ Equity:
๐ The ownerโs share in a company after subtracting liabilities from assets.
2๏ธโฃ Cash Flow:
๐ The actual movement of money in and out of a business, crucial for daily operations.
3๏ธโฃ Reven
Sharechat spent 4000 Cr+ to earn 533cr in rev. What is their future? Have heard from sources that the company is majorly cash-strapped and might go bust in less than two years unless they get acquired or raised at a seriously lower valuation.
21 replies35 likes
Aarihant Aaryan
Prev- Founder & CEO ...ย โขย 1y
I watched fewer episodes of Shark Tank, most founders optimised for equity, sharks but not cash
If someone wants to do a combined deal or wants more equity ask for a little bit more cash-only "cash" increases your runway and chances of succeeding.