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Atmrix

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TB

Tom Blomfield

12/16/23

@ Y Combinator

Include burn rate and runway in investor updates; these metrics are crucial for understanding your startup's financial health.

Video

YC

B2B Startup Metrics | Startup School

@ Y Combinator

12/16/23

Related Takeaways

YC

Y Combinator Cast

02/13/25

@ Y Combinator

Investors can help guide startups by encouraging transparency about financial metrics like runway and burn rate, which are essential for maintaining focus and discipline.

YC

Y Combinator Cast

04/28/17

@ Y Combinator

Founders should know key metrics like cash position and burn rate to communicate effectively with investors.

KN

Kirsty Nathoo

08/22/19

@ Y Combinator

Runway is not just a vanity metric; it's crucial for understanding the health of your company. Don't ignore it or manipulate the numbers to feel better about your situation.

DC

Dalton Caldwell

10/23/24

@ Y Combinator

Burn rate refers to the amount of money a startup spends each month; it's crucial for founders to monitor this to ensure they don't run out of funds, even if they have high revenue.

KN

Kirsty Nathoo

08/22/19

@ Y Combinator

Your runway is how long you can operate before running out of money, calculated by dividing your bank balance by your average burn rate.

MS

Michael Seibel

05/07/22

@ Y Combinator

Investors are biased towards metrics that may not prioritize the startup's survival, focusing instead on growth and revenue.

YC

Y Combinator Cast

01/27/22

@ Y Combinator

When a startup's runway decreases to about 12 months, founders often start making better decisions as they face pressure to perform.

KN

Kirsty Nathoo

08/22/19

@ Y Combinator

If you have six months of runway left, you should start thinking about raising money or achieving profitability, as waiting too long can reduce your leverage with investors.

EG

Elad Gil

10/18/18

@ Y Combinator

Monthly investor updates should clearly outline what assistance is needed from investors, along with key metrics and updates on the business.