Ramen Profitable

Definition

The stage at which a startup makes just enough revenue to cover the founders' basic living expenses, assuming those expenses are limited to instant noodles and shared housing. It's the lowest bar of financial success that still technically counts as success.

Example Usage

"We're ramen profitable, which means the company generates enough revenue for me to eat, as long as I eat ramen and nothing else, and the ramen is on sale, and I skip weekends."

Related Terms

Beginner

graduation round

When a startup raises funding from institutional VCs after initially bootstrapping or taking only angel money. It's like moving from community college to the Ivy League, complete with higher expectations.

🚀 Startup / VC

Intermediate

founder-market fit

The degree to which a founder's background, skills, and experience uniquely position them to solve a particular problem. The startup equivalent of being born for this moment, or at least having a plausible narrative for why you were.

🚀 Startup / VC

Beginner

angel

A wealthy individual who invests their own money in early-stage startups, typically because they're either bored with normal investments or enjoy the thrill of watching their cash evaporate in creative ways. These financial guardian spirits usually write checks between $25K and $100K in exchange for equity, mentorship duties they may or may not fulfill, and the right to say 'I invested in that' at cocktail parties. They're called angels because founders pray for them, not because they're particularly heavenly.

🚀 Startup / VC

Advanced

recycle provision

A fund agreement clause that allows GPs to reinvest early returns back into new deals rather than distributing them to LPs, extending the fund's effective deployment capacity. A controversial provision that LPs love to scrutinize because it delays their returns.

🚀 Startup / VC

Beginner

proposition

The fancy business term for a proposal or offer, usually dressed up with adjectives like 'value' or 'unique' to make it sound more impressive than 'hey, wanna buy our stuff?' In startup pitch decks, the 'value proposition' is that one slide where founders explain why anyone should care about their idea, typically using a Venn diagram that doesn't quite make sense. A good proposition answers 'what's in it for me?' before the listener falls asleep.

🚀 Startup / VC

Intermediate

platform value-add

Services and resources VC firms provide beyond capital, such as recruiting help, PR support, or customer introductions. Marketing speak that ranges from genuinely useful to completely fictional.

🚀 Startup / VC

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