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Comment by reeses

That's not a problem with the chart. That's a problem with starting a business.

You don't have to grow along a fixed axis, whether that be # of users, # of widgets, etc. You just have to average the growth in income.

I had a similar initial reaction to the chart because I stick to R&D-driven startups that will run at $0/week for as long as it takes. However, pushing the stop-energy out of my head and running with it is a good gut check for viability on breaking even given assumptions about expenses vs income over time.

The output isn't "we will grow at an annualized 360% forever, yielding foo," it's "we only need to kick in $x to have a good shot at getting to B/E."

parent reeses 12 years ago

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