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Recurring revenues: Oil or glue?

Berkonomics

Management undertakes a simple exercise of calculating the increased profitability of shutting down all R&D, sales and subordinate operations, and universally notes with shock the high net profit that results – from shutting down all operations except customer service to recurring customers (as in software support operations.).

Sales 296
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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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Startup Pricing: Are You Selling A Giffen Product?

InfoChachkie

A recurring entrepreneurial challenge is to determine the optimal price of a new product, especially absent a directly competitive alternative. Yet, the value of your solution will vary by customer, based on the utility each derives from your product. Anecdotally, it seems that SaaS products often behave as Giffen goods.

Pricing 100
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GrubMarket raises $60M as food delivery stays center stage

TechCrunch LA

GrubMarket , which provides a B2C platform for consumers to order produce and other food and home items for delivery, and a B2B service where it supplies grocery stores, meal-kit companies and other food tech startups with products that they resell, is today announcing that it has raised $60 million in a Series D round of funding.

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Your Customer Success Team Is Focusing On The Wrong Definition Of Success

InfoChachkie

I had the honor of moderating a panel of three SaaS CEOs who have collectively raised nearly $40 million of venture capital and are on their way to breakout success: Reed Shaffner of Workpop , Jerry Jao of Retention Science and Ara Mahdessian from ServiceTitan. The Most Important Metric. You can follow John on Twitter: @johngreathouse.

Customer 100
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Playing the Long Game in Venture Capital

Both Sides of the Table

It’s a virtue of the laws of large numbers ($100 million in ARR ) plus strong growth compounding off of large numbers plus large customers relying on our products for 7+ years or longer. Our goal is to produce a $10 billion+ winner and remain the market leader in this SaaS category of AI in Sales & Marketing.

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Entrepreneurs Should Go For The Quick Buck – Then Stop - Initial Business Models Can Be Enticing But Limiting In The Long Run

InfoChachkie

They knew that price restructuring would significantly impair their gross revenues as well as their net income, which would dramatically impact their stock price. The company artfully repurposed the tools, dashboards and scripts which it delivered to its initial consulting clients and created a SaaS solution. Graph The Effect.