17min chapter

The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch cover image

20VC: Why Seed is Systemically Broken | Why Pricing is Worse Than Ever and There is More Funding Than Ever | Benchmarks for Churn, Retention and Growth Rates - Good vs Great | Why Last Vintage for Private Equity Will Suck with Jason Lemkin

The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch

CHAPTER

Navigating Churn Rates and Burn Ratios

This chapter explores the significance of churn rates in companies, focusing on acceptable levels for SMBs and enterprises. It discusses the necessity of high Net Revenue Retention for enterprise companies, contrasts with monthly churn rates for SMBs, and emphasizes the challenges in predicting and managing churn. Additionally, it delves into burn ratios in startups, highlighting the efficiency when burn is less than revenue and the differences between B2C and SMB companies.

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