Jason Fried

Jason Fried quotes on runway

Founder & CEO at Basecamp. Non-serial entrepreneur. Co-author of Getting Real, REWORK, Remote, and “It Doesn’t Have to Be Crazy at Work”.

Twitter wisdom in your inbox

Never miss the the top tweets from Jason Fried with our email digest.

1

I’ve never used the term “burn rate” in our business. Terrible phrase. They’re called “costs”. Beware fancy financial terms, they’re commonly used to create unhealthy abstractions. Further, you don’t burn money - you spend money, you pay rent, you invest in people, etc.

2

Don’t call it a burn rate. Call it a spend rate. The money isn’t burning, it’s being spent. Burning suggests it’s a fire that’s roaring out of your control. “We’ve decided to spend $4MM/month on…” is coming to terms with your decisions.

3

When companies talk about burn rates, know two things are burning: Money & people. One you’re burning up, one you’re burning out.

4

“Runway”, “Accelerator”, “Burn rate”… What’s with the obsession with BURNING in the startup world? How about earning instead?

Get the top tweets via email

Never miss the the top tweets from Jason Fried with our email digest.

Get the Jason Fried email digest

Twitter wisdom in your inbox