Default alive
A startup is default alive if its current growth and spending would carry it to profitability on the cash it already has, without raising again.
Paul Graham introduced the distinction in 2015. The value is that it is binary and forces a real answer: on today's trajectory, do you make it, or do you need someone else's money to survive?
The test assumes constant expenses and current revenue growth. That is a simplification, and deliberately so. A company that is default dead can still be a good company, but it is one whose survival depends on a decision it does not control.
Related terms
Keep this number live
Plainhub computes default alive from money you record in plain words, so it is current when you need it rather than the night before a board meeting.
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