Startup Glossary: Letter "M"
Explore definitions, key metrics, legal terms, and financing mechanics shaping the startup ecosystem.
M
Management Fee
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.
Micro VC
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.
Minimum Viable Product
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
MRR (Monthly Recurring Revenue) is the total amount of predictable subscription revenue a startup expects to receive each month.
Multiple on Invested Capital
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.