Struggling for funds for your start-up? Here's how to assess cash burn

Start-up founders should have a modified cash-based profit or loss statement, reports Tech in Asia

Types of startups in terms of finance

Quick starters are startups that can theoretically operate immediately without requiring significant investment in time or technology. On the other hand, late bloomers can only start operations once the core product is developed.

The purpose of a financial plan for quick starters is primarily to assess business success. For late bloomers, a financial plan is primarily used to determine runway and cash burn. 

Overall structure

Generally, a financial plan should have at least three key sections: assumptions, calculations, and reports. It’s not a hard and fast rule but it’s the general rule. Professional model builders will include