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What is the Right Burn Rate at a Startup Company?

Both Sides of the Table

by Michael Woolf that is worth any startup founder reading to get a sense of perspective on the reality warp that is startup world during a frothy market such as 1997-1999, 2005-2007 or 2012-2014. So if your costs are $500,000 per month and you have $350,000 per month in revenue then your net burn (500-350) is equal to $150,000.

Burn Rate 383
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On Bubbles … And Why We’ll Be Just Fine

Both Sides of the Table

I know that most people who are close to them tend to deny their existence, as we saw in the great housing bubble of 2002-2007 and the dot com bubble of 1997-2000. Ah, but today’s Internet companies have real revenue! I believe a bubble occurs when a market is willing to pay greater than intrinsic value for an asset class.

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It’s Morning in Venture Capital

Both Sides of the Table

I have been close to the tech & startup sectors for more than 20 years and I can’t think of a period in which I felt more optimistic about the innovation and value creation I see in front of us. In 1997, the year the Kauffman Report begins its analysis; there were 70 million users online globally.

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Sustaining Innovation vs. Disruptive Innovation

YoungUpstarts

It doesn’t matter how technologically difficult the innovation is, however: The established competitors almost always win the battles of sustaining technology. An example of sustaining innovation is Pfizer, the world’s biggest pharmaceutical company by revenues. And they have the resources to win.

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Sustaining Innovation vs. Disruptive Innovation

The Startup Magazine

It doesn’t matter how technologically difficult the innovation is, however: The established competitors almost always win the battles of sustaining technology. An example of sustaining innovation is Pfizer, the world’s biggest pharmaceutical company by revenues. And they have the resources to win. Types of Disruptive Innovation.