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Financial Models for Underachievers: Two Years of the Real Numbers of a Startup

54 pointsby diviaover 17 years ago
Startups face one primary challenge: To never run out of cash. So when projecting costs, we heeded Guy's advice that "the three most powerful words you can utter at a board meeting are, 'We beat projections.'" This convinced us to develop the worst possible financial model that could still be used to raise money.

3 comments

joshwaover 17 years ago
A rare sight: a genuinely useful post from Guy Kawasaki. (It helps that he didn't write it.)
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rwebbover 17 years ago
very interesting...although basing your model's assumptions on another random startup may not be "better" than making your own assumptions. they are a good guy check guide if nothing else though.
edw519over 17 years ago
I dunno. Something tells me that a real estate site has little in common with what the rest of us are doing. When the market tanks (and it will), this looks like what George Plossl used to call, "A precise estimate of a wild ass guess."
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