On: Surviving the Series A Crunch

[blazespin]

Mo money mo problems, unfortunately. Hard to keep that overhead constant.

[peterjancelis → blazespin]

Yes this also assumes the 9% growth is word of mouth and not ad spend driven.

[gideon_b → peterjancelis]

Assuming half the costs are fixed (office, salaries, etc) and half the costs grow with revenue (Sales, Marketing, Servers etc.) than the situation becomes a little more bleak:

https://docs.google.com/spreadsheets/d/1YoPnpFzmcpdZQh6HZ_2f...

EDIT: they would hit breakeven at 22 months - not bad actually.