Category Archives for "Investor"

Jun 30

Series A funding: a Guide to Help You Succeed in Raising Capital

By Eckhard Ortwein | Investor

Series A funding

Every new business needs money to get it off the ground and to grow. So a significant part of your effort as a startup owner will be raising funds. That’s why understanding the basics of raising capital will be critical to your success. In this article, we will discuss startup funding stages that every entrepreneur should know. You will learn about the specifics of series A funding and the difference between angel investing vs venture capital.

Continue reading
Jun 30

Direct Cost and Cost of Goods Sold (COGS)

By Eckhard Ortwein | Investor

direct cost

Tracking business expenses is very important for business owners. It allows you to improve money management and monitor the growth of your business, plays a crucial role in calculating profitability, and can help you attract investors. This article covers two key metrics which you should track on a regular basis – direct cost and cost of goods sold (COGS).

Continue reading
Jun 30

Cash Burn Rate – a guide to use this metric in business planning

By Eckhard Ortwein | Investor

cash burn rate

Burn rate is a simple metric that every entrepreneur must be familiar with because, if calculated correctly, it’s crucial for planning, growth, and the success of any business. It is used to measure sustainability or how long a company can operate until it runs out of money. But what exactly is cash burn rate and how can we calculate it? Keep reading this article and you will find answers to these questions.

Continue reading
Sep 29

Unit Economics – Do you have a viable business model ?

By Eckhard Ortwein | Business Model

Unit Economics: Is Customer Lifetime Value > Cost of Customer Acquisition?

This post provides Entrepreneurs, Business Managers and Investors provides a simplified model and an introduction to Unit Economics enabling you to validate if the business model for any SaaS or subscription/recurring revenue business is viable.Unit Economics answer a key business question:  Is the Lifetime Value of a customer significantly higher than the cost to acquire a customer? We also have a look at various factors, how they can impact unit economics and how you can check your unit economics in 7 steps. Why is this so relevant? Only if you get your unit economics right, you can invest funds into scaling your business. 

Continue reading
Sep 16

What is a Business Model ?

By Eckhard Ortwein | Business Model

What is a business model

What is a Business Model and what turns a Business Model into a Business Case?

A great business model describes your business logic and supports it with meaningful numbers and metrics. However, most business model approaches are very thin (not even lean) when it comes to numbers and metrics. They don't lay out activities to quantify assumptions or even suggest meaningful benchmarks. So, what is a business model? This post proposes a business model framework taking the best elements of a few approaches and allowing you to capture your assumptions in a structured manner. We describe what turns a Business Model into a Business Case and how you can easily quantify your assumptions. Discover a completely new way of how to create a business case.

Continue reading
>

Send this to a friend