Default Alive vs Default Dead
Whether a startup will reach profitability on current trajectory (alive) or run out of money first (dead).
This framing asks whether, at current growth and burn, a startup would become profitable before cash runs out. Knowing your status focuses decisions on extending runway or accelerating growth, and is a sobering, clarifying lens for founders.
Examples
A founder realises they are default dead and cuts burn. — Improving margins moves a startup to default alive.
How it relates to The Startup Foundry
The Foundry helps founders understand their trajectory and make the moves that keep them investable and alive.