What is a “Math Story”? (Why Should You Care)?

I will write regular posts for this category — labeled “Math” in the 4-quadrant model in the right-hand column of the blog.

Your math story is the organizing logic of your new venture — what you are attempting to build and how — with numbers attached. A good math story cuts through the window-dressing typically attached to business plans and hones in on issues and variables that should be kept front-of-mind. Every business model, no matter how complex, can be boiled down to a few core factors that will most powerfully drive and predict success.

As Pythagorus said:  Numbers rule the universe.

It doesn’t take an MBA to understand that if the basic economics of your concept don’t work, no amount of passion, commitment, perseverance, or strength of personality will overcome this truth.

What is your business model and why is it compelling? What will it cost, in human and financial terms, to launch and grow the venture? How healthy are your margins? What is your likeliest path to break-even and beyond? How will your expected returns and cash flows provide for stability and growth? Have you considered and prepared for best- and worst-case scenarios? What kind of funding will provide enough staying power to lift your business off the ground, and how will you secure it?

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