Whether your business is just starting up or gearing up for a round of venture capital, your ‘burn rate’ is an important number to understand and manage. It can help you determine if you are keeping enough working capital on hand and help you make a plan to compensate for any losses in profit. Burn Rate Defined A burn rate is the rate at which you spend your financial reserves. There are two types of burn rates to pay attention: gross and net. The gross burn rate is the total amount of capital […]