Burn Rate: Difference between revisions
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Burn rate is the speed at which a company spends its cash reserves, typically measured monthly, to cover operating expenses before generating positive cash flow. | Burn rate is the speed at which a company spends its cash reserves, typically measured monthly, to cover operating expenses before generating positive cash flow. | ||
Net burn rate considers revenue - counted as Total Expenses minus revenue. Gross burn rate is just the spend, not counting revenue. | Net burn rate considers revenue - counted as Total Expenses minus revenue. Gross burn rate is just the spend, not counting revenue. [https://docs.google.com/spreadsheets/d/1Lb9ngFgNwk29hb0qVW4YxM_-VBvCkgJyxmOTwgI8fCQ/edit?gid=0#gid=0] | ||
[https://docs.google.com/spreadsheets/d/1Lb9ngFgNwk29hb0qVW4YxM_-VBvCkgJyxmOTwgI8fCQ/edit?gid=0#gid=0 | |||
Latest revision as of 16:51, 3 March 2026
Burn rate is the speed at which a company spends its cash reserves, typically measured monthly, to cover operating expenses before generating positive cash flow.
Net burn rate considers revenue - counted as Total Expenses minus revenue. Gross burn rate is just the spend, not counting revenue. [1]