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Definition

In contrast to the previous element, which relates to the total capital requirement, Low Cash Required Before Launch is limited to what happens prior to launch. It is often related to accumulating resources and knocking down risks prior to the commitment of launch capital and the follow through. Low prelaunch cash required is possible if during the prelaunch period, when a low level of capital is consumed, you can also greatly reduce your risks. As you accumulate the resources required to launch, can you minimize (if not eliminate altogether) your burn rate, that is, the rate by which you burn cash?


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