Great insights , The Zero Budgeting Module should be used by many starts ups that increased burn rates without control , believing that growth investors will follow
Thanks Zvi! It's a bit harder for startups to adopt that strict of a model because experimentation and failure is needed to actually figure out what's working. The inputs and outputs are much more fluid vs something like CPG where you can sort of forecast demand and hedge out costs ahead of time to match supply. Would likely stifle startups and lead to less innovation
Definitely agree. PE has a lot of cash that they need to put to work and soem of these companies are at very attractive levels with a sticky customer base that gives PE a lot of space to work with
Great insights , The Zero Budgeting Module should be used by many starts ups that increased burn rates without control , believing that growth investors will follow
Thanks Zvi! It's a bit harder for startups to adopt that strict of a model because experimentation and failure is needed to actually figure out what's working. The inputs and outputs are much more fluid vs something like CPG where you can sort of forecast demand and hedge out costs ahead of time to match supply. Would likely stifle startups and lead to less innovation
Interesting article. Thanks for sharing. Seems like we'll see more of these; after the valuation/multiple compression in the past 6ish months.
Definitely agree. PE has a lot of cash that they need to put to work and soem of these companies are at very attractive levels with a sticky customer base that gives PE a lot of space to work with