Burn Rate
Also called Net Burn and Gross Burn
How fast you are spending cash. Gross burn is everything going out each month, net burn is that minus the revenue coming in, the number that actually shortens your runway.
Why it matters
Burn is the lever you control most directly. Watching it, and knowing the difference between gross and net, is how you turn a fixed pile of cash into more time to find your footing.
Related terms
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