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burn rate

   Also found in: Financial, Wikipedia, Hutchinson 0.07 sec.

burn rate

The speed with which a new, unprofitable company is spending its initial funding whether from investors or from an IPO. In the world of high-speed high tech, the burn rate is carefully monitored to determine how long the company has to live.



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Using that amount of fuel as an hourly burn rate and along with an engine hour meter, you can easily do the math to figure how much fuel is in your tank at any given moment.
That means the paper should have a burn rate of at least $2.
Of course, cash flow and burn rate are major factors in building a strong capital base, Although these phrases emerged in the late 1990s' investment frenzy, any market condition requires that companies closely watch these details.
 
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