Remove Bankruptcy Remove Cost Remove Finance
article thumbnail

Why Misunderstanding Startup Metrics Can Cost You Your Business

Both Sides of the Table

The key to being able to run a business that isn’t yet profitable (on operating margin) is availability of capital to finance losses and preferably at a cost that isn’t too punitive to the founders and employees. Poorly calculated LTVs can become BVs (bankruptcy values). Customer acquisition cost. The first input is CAC.

Metrics 150
article thumbnail

Effective Cost-Saving Rules for Manufacturers

The Startup Magazine

Due to lockdowns, layoffs and other measures forced by the virus, some manufacturers had to pronounce bankruptcy and completely stop their business actions. With all that in mind, we can see how important it is to reduce costs to stay afloat. Examine shipping costs. Invest in efficient technology. Reduce energy consumption.

Cost 158
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Bending over: How to sell to large companies

A Smart Bear: Startups and Marketing for Geeks

You set up the escrow agent and bear all costs." If someone sues us over your product, you have to pay our legal costs." If you can't stomache any risk of personal bankruptcy, incorporating your micro-ISV is a must. Tags: Guest Posts How-To finance pricing sales. What happens if the product is defective?"

article thumbnail

Arif Bhalwani, CEO of Third Eye Capital, on the ‘Golden Age’ of the Private Credit Market

The Startup Magazine

TEC is one of Canada’s largest and most experienced private credit firms, specializing in providing asset-based capital solutions to companies that are underserved or overlooked by traditional sources of financing, primarily banks. The company was facing significant cash flow issues and was on the brink of bankruptcy.

article thumbnail

How to Wisely Utilize Debt for Business Expansion

The Startup Magazine

Poorly managed debt can lead to financial strain, decreased creditworthiness, and even bankruptcy. Equipment Financing: Leveraging Assets for Growth Equipment financing allows businesses to purchase or lease equipment needed for expansion without tying up capital or resorting to large upfront payments.

Finance 147
article thumbnail

What Angel Investing & Florida Condos Have in Common

Both Sides of the Table

It costs less money to start companies so the world should have way more startups.&# I’ve heard the “world is different&# argument in every bubble I’ve ever seen. That would mean that the increased number of new business startups will lead to a “funding gap&# of deals that can’t get financed.

Florida 299
article thumbnail

Financial Management: 7 Steps To Getting Your Small Business Debt-Free

The Startup Magazine

Whether you are new in business or an established entrepreneur, you need to be diligent with your finances. There are several reasons a bank will reject financing applications, but the most common is a low credit score. If your business credit score is low, applying for a bad credit loan can help you secure the financing you need.