Startup traction, burn & capital efficiency · Core

Capital intensity

Also called: capital-intensive

ELI5

How much money the business needs to grow.

Used in conversation

“Hardware makes the model more capital intensive.”

Definition

The amount of capital required to build, operate or grow a business.

Here “Capital intensity” means: The amount of capital required to build, operate or grow a business.

Pitch context

You will see “Capital intensity” 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.

Sources & evidence · 5

Supporting source families. This entry is an editorial synthesis rather than a quotation from one canonical glossary.