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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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Increasing Profit Margins By Decreasing Inefficiency

Tech Zulu Event

Selling new products, opening new markets outsourcing business functions and every other decision affects the bottom line. The net income is calculated by subtracting expenses from the revenue. The net income is calculated by subtracting expenses from the revenue. The Bottom Line. Execution and Control. Monitoring.

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10 Rules of Thumb for Startup Investment Valuation

Startup Professionals Musings

Back in the “heyday of the dot.com startups,” it was not uncommon to see a valuation incremented by $1M or every paid full-time professional programmer, engineer, or designer. Early customers and contracts in progress add value. Every customer contract and relationship needs to be monetized, even ones still in negotiation.

Startup 108
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10 Ways to Size Your Company’s Value for Funding

Startup Professionals Musings

Back in the “heyday of the dot.com startups,” it was not uncommon to see a valuation incremented by $1M or every paid full-time professional programmer, engineer, or designer. Early customers and contracts in progress add value. Every customer contract and relationship needs to be monetized, even ones still in negotiation.

Funding 98
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Ten Components of Startup Valuation For Investors

Startup Professionals Musings

Back in the “heyday of the dot.com startups,” it was not uncommon to see a valuation incremented by $1M or every paid full-time professional programmer, engineer, or designer. Early customers and contracts in progress add value. Every customer contract and relationship needs to be monetized, even ones still in negotiation.

Startup 93
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Startup Children – How To Parent An Entrepreneur (Part III) - Board Games Can Teach Children Negotiating And Risk Taking Skills

InfoChachkie

When you play Monopoly with your children, you can subtly underscore an entrepreneurial mindset in their gameplay which will ultimately help them develop valuable startup skills, as described below. Even though the game is hypercompetitive by design, your child will likely play with the same basic group of family and friends.

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Monopoly

InfoChachkie

A number of international versions were developed soon after its initial release, but America has consistently remained the bastion of Monopoly’s popularity. Monopoly is a great training ground to develop cash management skills. Hands on Learning. Monopoly is no different. In business, you want to get $200 for passing “Go” as well.