Revenue Ramp

Definition

The gradual or exponential increase in revenue over time—the metric VCs obsess over while ignoring profitability, customer satisfaction, and basic math.

Example Usage

Our revenue ramp is hitting $100K MRR now, which is great except our burn rate is $300K/month, so we're in great shape if 'great' means bankruptcy in four months.

Origin

General business term; adopted as a key VC metric during the 1990s-2000s

Fun Fact

Companies achieving a 10x revenue ramp (10x year-over-year growth) are considered 'hypergrowth'; they're also often unprofitable and unstable

Source: Startup growth and venture capital metrics terminology

Related Terms

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