Burn
Burn Rate
Any
Burn rate is a measure of how quickly a business is losing, or burning through, money. This is a particularly important metric for startups and venture-backed businesses that might be operating at a loss intentionally, investing more than they’re earning back into the business. Burn rate is typically calculated in monthly terms. [1]
Regardless of its situation, any company should have a burn rate that ensures at least six months of cash runway. [2]
Primary
[1] Retrieved May 21, 2021, from https://scalefactor.com/tools/burn-rate-calculator/