Our gross margin needs to be above 60%, ideally above 70%.

Pricing below cost can be a risky strategy for gaining market share, often leading to unsustainable business practices. You might want to price a little lower now because your margins are going to improve with time, but it's a risky maneuver, and I advise startups to maintain an 80 to 90% gross margin.

Know your financial metrics, including net and gross revenue, to understand your gross margin and overall profitability.

Operationally intensive businesses often have much lower gross margins than expected, making it essential to focus on improving these margins to ensure profitability.

As companies mature, they should aim for a gross margin of at least 80%, with R&D expenses dropping significantly as they scale.

Understanding your margins and costs is vital; we initially had negative margins due to underestimating costs.

Gross margin, which is revenue minus the cost of goods sold, is increasingly important for software companies, especially those using AI technologies.

The gross margins for AI-driven companies can significantly increase as the cost of tokens decreases, allowing for better profitability.

When you charge more, you can achieve higher margins, allowing you to invest more in customer acquisition and build a stronger competitive moat.