Glossary

Startup glossary

The terms every founder hears, explained in plain language. Each entry shows a real example, the mistake to avoid, and how to work it out for your own business.

B

Finance

Burn rate

Burn rate is how much cash your company spends each month. Gross burn is total monthly spending. Net burn is spending minus the cash that comes in.

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R

Finance

Runway

Runway is the number of months your company can keep operating before it runs out of cash, at its current net burn rate.

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Related tools

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