Burn rate at a glance: Optimising capital efficiency for sustainable startup growth

February 14, 2024

The burn rate is a key financial indicator in the startup world that indicates how quickly a company is using up its available capital reserves before it is able to generate sustainable revenue. It plays a crucial role in assessing the financial health and viability of a startup as it shows how long the company can operate before it needs additional capital. Effective control and management of the burn rate is therefore essential to optimise capital efficiency and ensure the long-term survival and growth of the company.