Mark,

Great post. I’m in a bit of an odd situation that I’ve never encountered before taking in angel / friend & family money. I’ve just raised about $150,000 and we’re just starting to really grow out of our shell coming out of the first ~50 or so paying customers (Hoping to stumble into the coveted product / market fit soon).

It’s tough to know how to manage the burn rate at a stage like this, some of the points in this (and a few of your other posts) really helped.

If you don’t mind me asking — what would you say is an ideal runway in a situation like that?

Being where we’re at with:

• Roughly 50 paying customers (20 of those closed within the last 15 days)
• Cost per acquisition of about $350 for a recurring SaaS subscription of about $70/Mo average per customer (5x month CAC)
• $150k just raised, and about $50,000 more coming in in the next month

Could I ask your thoughts on the following:

2 Founders (developers full time; no salary) 
2 Sales reps $4k/mo total
1 SDR $1.5k/Mo 
1 Full time designer: $3k/Mo
1 CSM / Implementations / Marketing: $2k/mo 
Office: $3k/Mo with room to double our teams size
Telecom / Apps / Misc: $2.5k/mo 
Marketing: $5k/Mo

Total: $21,000 / Mo gross burn

Forecasting that we should be able to cover about half of that via revenue by the end of month 4, would this be (relatively) in line with what you’d recommend?

Sorry for the long Q

Connor
http://www.OnSched.com