30 Sep '14, 1am

Two Articles Every Founder Should Read About Burn Rates --> #startups @DanielleMorrill @msuster

Two Articles Every Founder Should Read About Burn Rates --> #startups @DanielleMorrill @msuster

Startup burn rates are always a hot topic and over the last week some very big names in the startup world have weighed-in to share their opinions. Since I know my blog is read by more than just startup founders I guess now would be a good time to explain what burn rate is. Burn rate typically refers to the amount of money a startup spends (burns) every month. When investors put money into a startup they expect to see that money going back out (not too fast though) into things that will grow the company faster than it would organically. Typically the bulk of this money goes towards building the team but every company segments their funding a bit differently and often after discussing it over with their investors quite a bit to make sure that everyone is aligned. The burn rate discussion is now front-and-center thanks to an awesome article on Medium by Danielle Morell (found...

Full article: http://morganlinton.com/two-articles-every-founder-should...

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