Lean Canvas was developed by Ash Maurya and is based on the Business Model Canvas. It is structured as a table consisting of nine elements. These elements help break down a company’s operations into components, providing a comprehensive view of revenue logic, success factors, challenges, and solutions.

In practice, Lean Canvas is filled out by listing the characteristics of the analyzed subject for each of the nine elements. The order in which the components are addressed may vary, but for a startup, the process might proceed as follows: Who are our customers? What is our customer segment? What customer problems does our product solve? What revenue streams do we have from different customers and segments? What solutions do we offer? (All previously identified problems should have a corresponding solution.) What makes us unique, and why should customers choose us? How do we measure success? (For example, revenue growth, number of customers, profit, etc.) What is our cost structure, including break-even point, fixed, and variable costs? What differentiates us from competitors, something that cannot be copied or achieved by others?

As situations change, the Lean Canvas can be re-evaluated or specific areas that require improvement can be reviewed individually.

Detailed Breakdown of Lean Canvas:

Problem

• List the three key problems your customers face.
• How have customers solved these problems so far?

Solution

• Describe how your product solves each of these customer problems

Key Metrics

• List essential performance indicators such as sales, profit margin, balance sheet, “burn rate,” etc.

Cost Structure

• List fixed costs: rent, monthly salaries, etc.
• List variable costs (dependent on operational volume): material procurement, transportation, possibly energy costs, etc..

Unique Value Proposition

• Describe the clear, beneficial, and distinguishing feature of your product that makes it stand out in the eyes of consumers compared to competitors.
  

Unfair Advantage

• What does your product have that competitors will find extremely difficult or impossible to copy or acquire? This could be a unique patented technology, a highly specialized individual, etc.
  

Channels

• A list of sales channels where your products are currently sold.
  

Revenue Streams

• A list of all income sources for the company or revenue streams generated by the product.
  

Customer Segments

A list of your product’s existing customer segments and potential target audiences, such as “early adopters.”