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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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How to Kick Start Your Community’s Startup Scene

Both Sides of the Table

Cincinnati, like many startup communities in the US over the past 5 years, has revitalized important regions in its urban core, created accelerators, built co-working facilities, pooled together angel capital, attracted VCs, involved educational institutions and solicited the help of important corporations in a more cohesive ecosystem.

Startup 390
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What Should You Do with Your Crappy Little Services Business?

Both Sides of the Table

This thinking is largely driven by the venture capital industry (and subsequently Wall Street) who are in search of high margin, highly scalable businesses. I gave them advice I don’t think they were expecting from a VC, “Don’t raise venture capital for this business. You own the IP you create.

Services 332
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Why Lawsuits Are On the Rise at Startups and What To Do About It

Both Sides of the Table

This is only an educated hypothesis but I’ll bet it’s pretty close to grounded in reality: Everybody saw “The Social Network” and everybody has a belief that suing will net them millions whether they’re in the right or the wrong. Make sure you have standard vesting – even before your raise capital.

Startup 150
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Interview with Cliff Rees, XCast Labs

socalTECH

It seems that every week, a new, Voice-over-IP provider firm surfaces in the market, either providing PBX services, voicemail, or other similar services. What is your VoIP service all about, and how is this different from what seems to be lots of Voice over IP service providers? Cliff Rees: We're a software as a solutions company.

IP 165
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Should Startups Focus on Profitability or Not?

Both Sides of the Table

You have to understand whether they’re likely to yield revenue growth in the near term OR whether you have access to cheap enough capital to fund your losses until your investments pay off. Have easy access to capital by investors who are committed to building businesses at Interent scale. Internet scale. Simplifying: Revenue -.

Startup 418
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Get Inside the Mind of an Angel Investor

Both Sides of the Table

some fun, big tech issues like privacy, net neutrality, location-based services and real-time data. Today, innovation is happening at an increasingly faster rate and , that being true, Thomas thought it was more efficient to match capital to ideas than execute the ideas himself. Net neutrality (1:09:00).

Angel 302