👋 Hi, it’s Kyle and I’m back with a new edition of Growth Unhinged, my newsletter that explores the unexpected behind the fastest-growing startups. Subscribe to join 48,472 readers who get Growth Unhinged delivered to their inbox every Wednesday morning.
What’s the right amount of burn for your software startup?
That’s a question on nearly everyone’s minds, especially lately. And it’s extremely hard to answer without resorting to the dreaded it depends.
This post is here to help you find answers, including bringing you new data from public and private software companies. What to expect:
What burn rate means and why you should measure it
How burn impacts your valuation
When to optimize for growth versus profitability
Typical burn rates for VC-backed startups
Special thanks to finance guru for his contributions to this post. Go check out CJ’s newsletter, Mostly metrics, for regular insights into financial metrics and business models.
What burn rate means and why you should measure it
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