🔥 Burn Rate & Runway Calculator
Know exactly how many months of runway you have left: enter your cash on hand and monthly net burn (expenses minus revenue) and get an instant result with a color-coded risk indicator and the projected date your money runs out.
About
Burn rate is the speed at which a company spends its cash reserves. Net burn equals total monthly expenses minus monthly revenue; gross burn counts expenses only. Runway is simply cash divided by net monthly burn, expressed in months. This calculator takes your current cash balance and net monthly burn, computes runway to one decimal place, and projects the calendar date when cash reaches zero. Results are color-coded: green for 12+ months (safe), yellow for 6–12 months (watch), orange for 3–6 months (urgent), and red for under 3 months (critical). Everything runs in your browser — no data is sent anywhere.
How to use
- Enter your total cash on hand — this is the money currently in your bank account or liquid reserves.
- Enter your net monthly burn: total monthly expenses minus monthly revenue. Use gross burn (expenses only) if you have no revenue yet.
- The calculator instantly shows your runway in months to one decimal place and the projected cash-out date.
- Read the color-coded risk level: green (12+ months), yellow (6–12), orange (3–6), or red (under 3 months). Act accordingly.
- Adjust either input to model scenarios — for example, cut burn by 20 % or add new funding — and see how the runway changes in real time.
FAQ
- What is burn rate?
- Burn rate is the rate at which a company spends its cash reserves each month. Net burn subtracts revenue from expenses; gross burn counts expenses alone.
- How is runway calculated?
- Runway (months) = Cash on hand ÷ Net monthly burn. For example, $500,000 cash with a $50,000 monthly burn gives 10 months of runway.
- What is a healthy runway for a startup?
- 18–24 months is generally considered a safe buffer. It gives enough time to hit milestones, raise the next round, or pivot if needed. Under 6 months is a red-flag zone.
- What should I do if my runway is under 3 months?
- Act immediately: cut non-essential spend, accelerate revenue collection, approach investors or lenders now (fundraising takes 3–6 months), and explore bridge financing or revenue-based financing.
- Does this calculator account for revenue growth or variable spend?
- No — it uses a constant monthly burn, which gives a conservative, straight-line estimate. For growth scenarios, adjust the burn input manually to model different months or use a spreadsheet for detailed projections.