Why Positive Cashflow Matters - AVC

Venture backed companies have a strange relationship to positive cashflow. Because they have financial backers who can and do finance losses, they tend to operate in the red for a long time. In the...

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Source: AVC

Venture backed companies have a strange relationship to positive cashflow. Because they have financial backers who can and do finance losses, they tend to operate in the red for a long time. In the early days it makes sense to burn cash. If you do not have revenues, you can’t generate cash. And if you […]