Final answer:
Revenue streams in the Lean Canvas outline how a business intends to make money, which might include subscriptions, direct sales, ads, or various other methods. Detailing these streams is essential for financial forecasting and strategic planning.
Step-by-step explanation:
Revenue Streams in the Lean Canvas
In the Lean Canvas, revenue streams refer to the various ways in which your business will generate income. This section is critical for understanding the financial sustainability of your business model. Generally, revenue streams can be derived from direct sales, subscriptions, licensing, advertisement, affiliate revenue, or freemium models with in-app purchases or upgrades. For example, a software company might have a subscription model for access to their platform while also generating revenue through ads and partnership deals. It’s important to outline each revenue stream with as much detail as possible, including pricing strategies, frequency of payment, and expected contribution to total revenue. This information helps in creating a realistic financial forecast and sets the stage for business growth and financial planning.