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Burn Rate

The pace at which a company consumes cash over time, commonly expressed as a monthly amount.

What traders should verify

For Burn Rate, identify the statement, reporting period, accounting policy, footnote support, comparable periods, and cash-flow effect.

Do not conflate

Burn Rate is an accounting measure or classification; it is not automatically cash, fair value, liquidity, or current market value.

Primary source

SEC definition

Source boundary: this glossary reflects SEC staff views and is not a Commission rule, regulation, or statement. Check the linked source for current wording and legal context.

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