Remove .Net Remove Customer Remove IP Remove Sales
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What is the Right Burn Rate at a Startup Company?

Both Sides of the Table

Gross Burn vs. Net Burn. Burn rate in case you don’t know is the amount of money a company is either spending (gross) or losing (net) per month. (it Net burn is the amount of money you are losing per month. I often see companies burning $100,000 per month (net) looking to raise $6-8 million.

Startup 383
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What Should You Do with Your Crappy Little Services Business?

Both Sides of the Table

It would not be a big stretch to image a well run service business like this making 15-25% net profit margins. Customer financing often comes in the form of your company agreeing to build a product with a “sponsor&# customer or two and helping them with the rollout / implementation. You own the IP you create.

Services 332
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Should Startups Focus on Profitability or Not?

Both Sides of the Table

The most obvious way to explain this is with sales people. If you hire 6 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 for 4-6 months. “COGS” represents the amount that each sale costs you.

Startup 418
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Why The Media Has Been Wrong About YouTube Networks

Both Sides of the Table

I agree with YouTube (that they provide more (hosting, ad sales, etc.) Building direct customer relationships with viewers (who want to tune into your channels). Selling at smaller retailers will net you fewer customers and higher margins. YouTube has infinitely more customers than their websites & 2.

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10 Concrete Steps to Assure Business Innovation

Startup Professionals Musings

Successful innovation turns ideas into money, to enhance customer value, and thus shareholder value. Longer-term, enhanced product value begets superior company valuation through your organization’s intellectual property (IP) portfolio. From time to time, include customers and sales members in ideation sessions.

Coach 98
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Ten Principles Which Spell Continuous Innovation

Startup Professionals Musings

Successful innovation turns ideas into money, to enhance customer value, and thus shareholder value. Longer-term, enhanced product value begets superior company valuation through your organization’s intellectual property (IP) portfolio. From time to time, include customers and sales members in ideation sessions.

Coach 93
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What Makes an Entrepreneur? Cojones (7/11)

Both Sides of the Table

They often make great team members such as head of products, CTO, head of sales, CFO, etc. If this idea was so big then why would they risk not being first to market, not building defensible IP for the sake of a few hundred thousand dollars extra in lock-up money at a big company? I finally called bullshit. That’s hard core.