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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
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How To Cut Costs In Your Business, Without Hurting It

Mike Michalowicz

You fix your bottom line by increasing revenue or cutting costs or both. You can’t guarantee that you will increase revenue by next month, but you can guarantee that your rent will be due. We cling to our expenses, believing we will need all those costs the moment we land that big client. Costs pile up predictably.

Cost 151
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Creating the Next Silicon Valley – The Chilean Experiment

Steve Blank

Interestingly, CODELCO is required to contribute 10% of its revenues to the armed forces , but the mining industry seems to have little or no connection with innovation and entrepreneurship efforts in universities and startups. Perhaps because the cost of a public failure is so high in Chile. See below.).

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Organization That Failed to Innovate – Avoid Their Fate

ReadWriteStart

While employees are often inspired by success stories and case studies of triumphant innovation tales of large companies, the cost of not innovating is often overlooked. Rental subscriptions and late fees were the main drivers of revenue for the organization. Blockbuster missed multiple opportunities to innovate.

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Charge More With The Power of Pure Motive Service

Duct Tape Marketing

He shares his journey from struggling home service contractor to helping thousands of contractors increase their revenue. Joe’s “don’t worry about it” mentality, is rooted in his blue-collar upbringing where his father often provided services for free, and once nearly led him to bankruptcy.

Cloud 87
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Tripwire Marketing: From Bankruptcy to Over 1 Million Dollars in Profits in One Year

ConversionXL

In 2015, 9-figure apparel retailer Karmaloop.com filed for bankruptcy. The CEO cut costs. That latter term is used to describe an initial offer that generates enough revenue to offset the cost of acquiring a customer. Marketing where you don’t have to is called a subsidy cost. They brought me in as CMO.

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

The Startup Magazine

Are there new revenue streams you can tap into? But bankruptcies and restructurings are spiking, and private credit firms have to possess not only financial acumen but also skills in restructuring, workout, and business turnaround. The company was facing significant cash flow issues and was on the brink of bankruptcy.