Glossary entry

A persona is a semi-fictionalised representation of a startup's ideal customers, based on market research and real data about existing customers.

The Pareto Principle, also known as the 80/20 rule, states that 80% of results often come from 20% of effort, which is applicable to a variety of scenarios, including business processes and customer relationships.

The net burn rate indicates how quickly a start-up uses up its capital, taking revenue into account, and is therefore an indicator of the net expenditure rate over a certain period of time.

A Non-Disclosure Agreement (NDA) is a legal document that obligates the parties not to disclose confidential information that is shared in the context of business relationships.

MVP, or Minimum Viable Product, is a concept from the lean startup methodology that focuses on developing a product with the minimum necessary features to make it available to early adopters and gather valuable feedback.

MRR (Monthly Recurring Revenue) measures a company's recurring revenue per month, especially for subscription or SaaS models, and provides insight into the financial stability and predictability of revenue.

A Marketing Qualified Lead (MQL) is a potential customer who is considered ready for the next step in the sales process based on their engagement and interest in a product or service.

The Mom Test is a technique for obtaining honest and unbiased customer feedback by asking specific, situational questions that go beyond subjective opinions and uncover actual needs and behaviours.

Month-on-month growth (MoM growth) is an important key figure that measures the percentage change in a specific metric, such as sales, user numbers or other performance indicators, from one month to the next.