Startup Glossary: Letter "M"

A Management Fee is a recurring fee paid to fund managers to cover operational expenses such as salaries, travel, and deal sourcing, typically calculated as a percentage of committed capital.

A Micro VC is a venture capital fund with a relatively small pool of capital (typically under $50M), focused primarily on pre-seed and seed-stage investments.

A Minimum Viable Product (MVP) is the simplest usable version of a new product that allows a startup to collect the maximum amount of validated customer feedback with the least effort.

MRR (Monthly Recurring Revenue) is the total amount of predictable subscription revenue a startup expects to receive each month.

Multiple on Invested Capital (MOIC) is a performance metric that compares the total value of an investment (realized returns + current value) to the initial cost of the investment.