Startup traction, burn & capital efficiency · Core
Activation rate
Also called: activation
ELI5
How many new users reach the first meaningful success point.
Used in conversation
“Activation rate improved after onboarding changed.”
Definition
The share of new users or accounts reaching a defined early value event.
Here “Activation rate” means: The share of new users or accounts reaching a defined early value event.
Pitch context
You will see “Activation rate” in fundraising decks, data rooms, term sheets and investor conversations when the discussion reaches startup traction, burn & capital efficiency.
Why it matters: It helps a reader interpret startup traction, burn & capital efficiency without confusing the measure, decision, role or evidence being discussed.
Connected terms
- ActivationThe search label “Activation” can route to both entries.
Sources & evidence · 5
Supporting source families. This entry is an editorial synthesis rather than a quotation from one canonical glossary.
- U.S. Securities and Exchange Commission — Small Business Capital Formation GlossarySupporting source family · primary · checked 2026-08-16
- U.S. Securities and Exchange Commission — Exempt OfferingsSupporting source family · primary · checked 2026-08-16
- National Venture Capital Association — Model Legal DocumentsSupporting source family · institutional · checked 2026-08-16
- Y Combinator — Safe financing documentsSupporting source family · practitioner · checked 2026-08-16
- Y Combinator — Series A Term Sheet TemplateSupporting source family · practitioner · checked 2026-08-16