Business Foundationsadvanced
Default Dead
Definition
A startup that, on its current growth and spending, will run out of money before it becomes profitable, unless something changes.
Why it matters
Knowing whether you are default dead or default alive tells you honestly whether you must cut costs, grow faster or raise money to survive.
Example
At today's burn and growth, your cash runs out in eight months before you break even, so you are default dead.
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