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Why Misunderstanding Startup Metrics Can Cost You Your Business

Both Sides of the Table

profitable and companies like Amazon who chose to focus on growth > profitability were not losing money on each book sale (ie they were gross margin positive). And even when calculated correctly often CAC’s are assumed to be constant but of course they’re not. Gross margin positive != That bit is easy.

Metrics 150
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Everybody Wants Their Pound of Flesh (Negotiating with Buyers)

Both Sides of the Table

” The post talked about how to find the lowest acceptable price & terms in a deal through testing. You’ve got to have some wiggle room on price and on terms. Your IT Reviewer. She got you to drop price and include more licenses for free. I think most of us feel this way, really. Wants their pound of flesh.

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10 Keys To Surviving Startup Cash Flow Requirements

Startup Professionals Musings

Of course, we all realize that this approach will take longer, and could jeopardize both roles if not managed effectively. This source is a major focus these days, due to government initiatives to incent research and development on alternative energy and other technologies. Set expectations accordingly. Get a loan or line-of-credit.

Startup 136
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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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10 Tips For A New Venture To Survive The Early Years

Startup Professionals Musings

Of course, we all realize that this approach will take longer, and could jeopardize both roles if not managed effectively. This source is a major focus these days, due to government initiatives to incent research and development on alternative energy and other technologies. Set expectations accordingly.

Tips 104
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The One Word That Shouldn’t Exist in an Entrepreneur’s Vocabulary

Both Sides of the Table

And a natural sales person. I worked in both before leaving to work in a software company at 17. You can’t just name your own price.” “Of course I can. ” Jacob, “Of course I can have a piece. I had a business class seat due to status of flying a lot and my family was in economy.

Sales 416
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10 Financing Alternatives For Your Next New Venture

Startup Professionals Musings

Of course, we all realize that this approach will take longer, and could jeopardize both roles if not managed effectively. This source is a major focus these days, due to government initiatives to incent research and development on alternative energy and other technologies. Set expectations accordingly. Get a loan or line-of-credit.

Startup 128