Genuine VC

FEBRUARY 9, 2011

Evaluating a startup as a prospective employee is tough, especially when you compare to VCs. When there are unique and strong external & internal tailwinds which can push a startup forward, there is more opportunity and overall upside for all employees. So what is a prospective employee to do?

Startup 146

Startup Burn Rate Technical Review Down Round 146

YoungUpstarts

JUNE 20, 2019

Series B: Hiring and Developing Managers. All startups find themselves struggle with hiring to meet growing demand, leaving most startups scrambling to onboard hires. When startups make new hires, it’s not uncommon to then promote the longest-tenured engineer, tasking them with onboarding staff.

Technical Cofounder 113

Technical Cofounder Burn Rate Seed Stage Cofounder 113

crowdSPRING Blog

OCTOBER 10, 2014

. “the people you fire are more important to your [company''s] culture than the people you hire.” Stock option questions startup employees should ask | Business Insider – crowdspring.co/1n8lUje. Refocusing the Startup Burn Rate Debate | OpenView Blog – crowdspring.co/1n8paLq.

Social Media 97

Social Media Small Business Design Media 97

crowdSPRING Blog

OCTOBER 24, 2014

Benchmarking SaaS Startup Efficiency with Revenue per Employee Metrics | by @ttunguz – crowdspring.co/1sRVdjm. What is the Right Burn Rate at a Startup Company? | Hire the Right Type of VP Marketing ?Or How to Ruin Your Company with One Bad Process | by @bhorowitz – crowdspring.co/11FYS9R. 1vOh10w.

Social Media 95

Social Media Small Business Design Media 95

Steve Blank

MARCH 17, 2020

Large companies are sending employees to work at home. If you’re running a startup or small business, your first priority (after your family) is keeping your employees and customers safe. The questions every startup or small business CEO needs to ask now are: What’s my Burn Rate and Runway? Burn Rate and Runway.

Burn Rate 436

Burn Rate Startup Valuation Sales Cycle 436

Both Sides of the Table

MAY 2, 2015

For a well-funded seed company I have controversially recommended hiring a great office manager that doubles as an administrative assistant. This happens because many CEOs are passionate, market-driven people who are constantly trying to launch new products, win contracts, get press, hire staff and woo VCs. HR & Legal.

Operations 150

Operations Metrics Early Stage Non-Compete 150

crowdSPRING Blog

DECEMBER 12, 2014

5 Ways To Help Employees You’re About To Lay Off | Fast Company – crowdspring.co/159KAQE. How to Motivate Employees in Less Than 5 Minutes – crowdspring.co/1CzhuZY. How to Show Employees Love (Even if it Makes Them Feel Awkward) – crowdspring.co/1CzgUvd. Don’t Get Burned by Your Burn Rate – crowdspring.co/159KKrk.

Social Media 100

Social Media Small Business Design Media 100

Both Sides of the Table

MARCH 9, 2013

Should you increase your burn rate by adding 2 senior hires who will help you ship faster or sell more but then have less time for fund raising? This is especially true in startups where speed matters and where there is a need to constantly calibrate direction and where these decisions can have existential outcomes.

Cofounder 413

Cofounder Burn Rate Dilution Valuation 413

Startup Lessons Learned

MARCH 27, 2009

The full formula works like this: runway = cash on hand / burn rate # iterations = runway / speed of each iteration Very few successful companies ended up in the same exact business that the founders thought theyd be in (see Founders at Work for dozens of examples). Were talking PayPal -sized variations.

San Francisco 117

San Francisco Lean Continuous Deployment DC 117

Both Sides of the Table

MAY 9, 2011

Hire your co-founder. Involve them in fund raising, hiring, strategy, etc. Involve them in fund raising, hiring, strategy, etc. like how much burn rate), whether to sell the company, etc. Startups have high failure rates. Most senior employees who join are given 2% if they join early. Who gets 30%?

Cofounder 393

Cofounder Founder Vesting Founder Vesting 393

Startup Professionals Musings

NOVEMBER 2, 2012

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. My advice to founders out there is to not volunteer too much, but be open and honest in the face of direct questions like the following: What is your burn rate and runway today?

Due Diligence 244

Due Diligence Sweat Equity Burn Rate Intellectual Property 244

Startup Professionals Musings

DECEMBER 16, 2013

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. My advice to founders out there is to not volunteer too much, but be open and honest in the face of direct questions like the following: What is your burn rate and runway today?

Due Diligence 253

Due Diligence Sweat Equity Intellectual Property Burn Rate 253

Startup Professionals Musings

AUGUST 20, 2010

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. My advice to founders out there is to not volunteer too much, but be open and honest in the face of direct questions like the following: What is your burn rate and runway today?

Due Diligence 229

Due Diligence Sweat Equity Intellectual Property Startup 229

Startup Professionals Musings

SEPTEMBER 5, 2011

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. My advice to founders out there is to not volunteer too much, but be open and honest in the face of direct questions like the following: What is your burn rate and runway today?

Due Diligence 237

Due Diligence Sweat Equity Intellectual Property Entrepreneur 237

Startup Professionals Musings

NOVEMBER 28, 2012

Quick to hire and slow to fire. Hiring after one interview is like hopping a red-eye to Vegas to get married after one date. On the other end of the process, don’t hesitate to pull the trigger fast when a new hire isn’t working, but don’t forget to be human and follow all the steps. We all have our favorite story on this one.

Entrepreneur 274

Entrepreneur Intellectual Property LLC Burn Rate 274

Startup Professionals Musings

JANUARY 7, 2014

Be quick to hire and slow to fire. Hiring after one interview is like hopping a red-eye to Vegas to get married after one date. On the other end of the process, don’t hesitate to pull the trigger fast when a new hire isn’t working, but don’t forget to be human and follow all the steps. Do not delegate this task.

Startup 265

Startup Intellectual Property LLC Burn Rate 265

Up and Running

JULY 27, 2020

Your forecast will also help you figure out when it might be the right time to expand, buy a new piece of equipment, or hire more employees. You’ll understand your cash burn rate and runway which is a critical prediction of how long your cash will last. How to create a dynamic, more accurate cash flow forecast.

Forecast 83

Forecast Management Cash Position Software Review 83

Both Sides of the Table

JUNE 17, 2017

If you hire 6 senior sales reps in January at $120,000 / year salary then you’ve taken on an extra $60,000 per month in costs yet these sales people might not close new business 6 months. If you don’t have a strong balance sheet and can’t hire more people that’s fine — but understand this may lead to slower growth.

Stock Options 227

Stock Options Startup Dilution Venture Capital 227

Gust

DECEMBER 8, 2013

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. My advice to founders out there is to not volunteer too much, but be open and honest in the face of direct questions like the following: What is your burn rate and runway today?

Due Diligence 174

Due Diligence Sweat Equity Intellectual Property Burn Rate 174

Startup Professionals Musings

SEPTEMBER 29, 2018

Investors check your burn rate to assess your efficiency, and project your remaining runway before you run out of money and into a brick wall. It doesn’t take a financial genius to recognize that you need to keep your burn rate low. Cash flow out equates to burn rate, and the runway depends on your reserves.

Burn Rate 223

Burn Rate Hockey Stick Startup Salary 223

Gust

DECEMBER 29, 2013

Be quick to hire and slow to fire. Hiring after one interview is like hopping a red-eye to Vegas to get married after one date. On the other end of the process, don’t hesitate to pull the trigger fast when a new hire isn’t working, but don’t forget to be human and follow all the steps. Do not delegate this task.

Startup 183

Startup Intellectual Property LLC Burn Rate 183

philipsmith.typepad.com

SEPTEMBER 24, 2011

While there have been times in the last dozen or so years, usually during times of venture capital excess, that cash to founders, early-stage executives and other key employees has matched regular market compensation (still with the upside of the equity), this is not true in the vast majority in the start-up game. Don't get me wrong.

Silicon Valley 40

Silicon Valley Equity Technical Review Recapitalization 40

Hunter Walker

FEBRUARY 20, 2022

Maybe you’ve spoken with the previous companies customers or investors or employees and learned from that — maybe you’re even now taking their customers, hiring their best team members, whatever. Take it head on at the 50,000 foot level and drop one or two insight gems regarding why your company is better positioned. Just Survive.

Marketing 152

Marketing Burn Rate Angel Investor Early Stage 152

ReadWriteStart

APRIL 30, 2020

Many fail because they fail to keep their burn rate in check and then run out of investors who are willing to fund their operations. They treat their startup’s burn rate like it’s etched in stone. Now, it’s invariably true that startup employees typically work long hours in service of a greater goal.

Burn Rate 107

Burn Rate Management Startup Early Stage 107

Startup Professionals Musings

AUGUST 19, 2020

Investors check your burn rate to assess your efficiency, and project your remaining runway before you run out of money and into a brick wall. It doesn’t take a financial genius to recognize that you need to keep your burn rate low. Cash flow out equates to burn rate, and the runway depends on your reserves.

Burn Rate 310

Burn Rate Hockey Stick Salary Angel Investor 310

Up and Running

APRIL 2, 2020

Also, for your crisis plan, be sure that you know your burn rate and runway , which is how quickly you are using up your cash reserves and how long you have before you run out of cash. We are simply trying to minimize the loss and maintain the livelihoods of our employees. . How to build a profit and loss .

Forecast 157

Forecast Salary Business Plan Balance Sheet 157

ReadWriteStart

JULY 9, 2023

They impact fundraising, hiring, intellectual property rights and patents, and many more things around starting and running a business. You can hire a lawyer or consult with one from time to time, but knowing the legal side of venture investment and running a company is essential.

Intellectual Property 122

Intellectual Property Startup Burn Rate Metrics 122

YoungUpstarts

MAY 20, 2015

Burn rate: Seeing company grow fast is both exciting and overwhelming experience. Even though the growth is rapidly increasing, the burn rate can equally increase too so its essential to plan advance and evaluate the options based on that. Hire Talent. “I would say that hiring talent is were the story begins.

Colombia 100

Colombia Burn Rate Startup Agile 100

Up and Running

SEPTEMBER 9, 2020

If you’re thinking about expanding, purchasing additional equipment, or adding more employees, you need to know when it will be safe to do so from a cash perspective. When you have negative cash flow, you should also keep track of your burn rate and runway. Burn rate is the amount of cash that you are “burning” each month.

Burn Rate 83

Burn Rate Forecast Cash Position Employee 83

Startup Professionals Musings

OCTOBER 5, 2014

Investors check your burn rate to assess your efficiency, and project your remaining runway before you run out of money and into a brick wall. It doesn’t take a financial genius to recognize that you need to keep your burn rate low. Cashflow out equates to burn rate, and the runway depends on your reserves.

Burn Rate 262

Burn Rate Hockey Stick Entrepreneur Salary 262

Startup Professionals Musings

MAY 14, 2023

Investors check your burn rate to assess your efficiency, and project your remaining runway before you run out of money and into a brick wall. It doesn’t take a financial genius to recognize that you need to keep your burn rate low. Cash flow out equates to burn rate, and the runway depends on your reserves.

Burn Rate 258

Burn Rate Hockey Stick Management Salary 258

Up and Running

MARCH 26, 2020

With your forecast in hand, you can anticipate how far things will fall, and identify the best ways to react: Figure out your burn rate and runway : How quickly are you using up your cash reserves and how long do you have before you run out of cash? You have options: Freeze hiring. Cut all salaries by 20%.

Management 152

Management Forecast SBA Burn Rate 152

BeyondVC

DECEMBER 6, 2006

People don’t like to fail and you and your employees can get demoralized after repeatedly missing targets by a significant amount and especially if your compensation is tied to a plan that will never be realized. What this does is speed up cash burn without delivering the desired results.

Burn Rate 79

Burn Rate Cloud Hiring Sales 79

BeyondVC

DECEMBER 6, 2006

People don’t like to fail and you and your employees can get demoralized after repeatedly missing targets by a significant amount and especially if your compensation is tied to a plan that will never be realized. What this does is speed up cash burn without delivering the desired results.

Burn Rate 78

Burn Rate Cloud Hiring Sales 78

Hunter Walker

NOVEMBER 25, 2022

The reality is that most hires to early stage startups will be taking a near-term hit to cash compensation or at the very least, earning less than they could if they *only* prioritized salary (and not role, company, or equity upside). It’s also a reminder why keeping your personal burn rate low is such a career expanding move.

Salary 79

Salary Burn Rate Dilution Equity 79

The Next Web

JUNE 15, 2015

Airbnb’s experience shows how local engagement strategies such as these do not have to increase a startup’s burn rate considerably. One of the most important parts of taking on an expansion process is hiring the right local talent, a time consuming and challenging factor. Talent-Driven Expansion.

Global 60

Global Burn Rate Startup CPA 60

Hearpreneur

JULY 7, 2019

I see companies transitioning to hiring more freelancers and remote workers. What this means is that those who previously were W2 employees will now be 1099 contract workers. When they outsource they are hiring professionals for a certain number of hours per month and not 40 hours per week in addition to benefits, workers comp, etc.

Entrepreneur 102

Entrepreneur Distribution Employee Arizona 102