Runway in Months
See how long your available cash may last based on current monthly revenue and operating expenses.
Startup Financial Planning Tool
Cash Runway Calculator
Estimate how many months your available cash can support your business. Calculate your net burn rate, expected runway end date, and the additional funding required to reach your target runway.
Enter Your Financial Details
Use your average monthly figures for a more reliable runway estimate.
Key Benefits
Understand Your Business Cash Position
The Cash Runway Calculator turns your current financial figures into practical planning insights for founders, finance teams, and small business owners.
Net Burn Rate
Measure the amount of cash your business consumes each month after collected revenue is deducted.
Runway End Date
Estimate the date on which available cash may run out if your current financial pattern remains unchanged.
Target Comparison
Compare your estimated runway with a custom goal, such as 12, 18, or 24 months.
Funding Gap Estimate
Calculate how much additional capital may be required to reach your desired operating runway.
Private Calculation
All calculations take place inside your browser. The calculator does not need to send financial data to a server.
Three Simple Steps
How the Cash Runway Calculator Works
Enter your financial information, calculate your net cash burn, and review the estimated time available before additional funding is needed.
1
Enter Available Cash
Add your current business cash balance and any confirmed funding that will become available for operations.
2
Add Revenue and Expenses
Enter average monthly cash revenue and operating expenses. The tool uses these figures to determine your net burn rate.
3
Review Your Runway
View your estimated runway in months, projected end date, funding gap, and progress toward your target runway.
What Is Cash Runway?
Cash runway is the estimated amount of time a business can continue operating before it runs out of available cash. It is normally measured in months and is especially important for startups, early-stage companies, and businesses that currently spend more cash than they generate.
A longer runway gives management more time to increase revenue, improve profitability, raise funding, or adjust operating expenses. A short runway may indicate that immediate financial action is required.
Standard cash runway formula
Cash Runway = Available Cash ÷ Net Monthly Burn Rate
How Is Net Monthly Burn Calculated?
Net monthly burn is the difference between monthly cash expenses and monthly cash revenue. It represents the actual amount of cash being consumed during a typical month.
Net burn rate formula
Net Monthly Burn = Monthly Expenses − Monthly Cash Revenue
For example, a company with $60,000 in monthly expenses and $20,000 in monthly cash revenue has a net burn rate of $40,000. If it has $400,000 in available cash, its estimated runway is 10 months.
Gross Burn Rate vs Net Burn Rate
| Metric | Meaning | Formula | Best Use |
|---|---|---|---|
| Gross Burn Rate | Total cash spent during a month | Monthly cash expenses | Expense monitoring |
| Net Burn Rate | Cash lost after monthly revenue | Expenses minus cash revenue | Cash runway planning |
What Is Considered a Healthy Cash Runway?
The appropriate runway depends on the company's industry, growth rate, profitability, funding environment, and business model. However, the following ranges can provide a useful planning framework:
- Less than 6 months: High financial risk. Cost reduction, revenue improvement, or fundraising may require immediate attention.
- 6 to 12 months: Limited flexibility. Management should closely monitor cash flow and prepare financing options.
- 12 to 18 months: A more stable planning period for many startups and growth-stage businesses.
- More than 18 months: Stronger financial flexibility, although spending efficiency should still be reviewed regularly.
How to Extend Your Cash Runway
Businesses can improve their runway by reducing unnecessary expenses, renegotiating supplier contracts, delaying nonessential hiring, increasing prices, improving customer retention, accelerating invoice collection, or securing additional capital.
Runway should not be extended by cutting every expense without considering its impact. Reductions that damage product quality, customer support, or revenue growth may weaken the business instead of protecting it.
Common Questions
Cash Runway Calculator FAQs
Learn how to interpret runway estimates and use them in business planning.
It estimates how many months your company can continue operating based on available cash and net monthly burn. This calculator also estimates the runway end date and funding needed to reach a target runway.
Use monthly cash revenue that your business actually collects. Do not use accounting profit because profit may include noncash items and revenue that has not yet been received.
When cash revenue is equal to or greater than monthly expenses, the business has no negative net burn under the entered assumptions. Therefore, a finite cash runway cannot be calculated.
Most startups should calculate runway at least once per month. Companies experiencing rapid growth, falling revenue, or financial pressure may need to update the calculation weekly.
Include future investment only when it is highly certain and properly documented. Verbal commitments or early fundraising discussions should generally not be treated as available cash.
No runway estimate remains perfectly accurate when revenue, expenses, payment timing, or funding changes. Recalculate whenever your financial assumptions materially change.
Yes, but a profitable or cash-flow-positive business may not have a finite runway. In that situation, the tool will show that monthly cash revenue currently covers operating expenses.
Financial disclaimer: This calculator provides estimates for
general planning and educational purposes. Actual cash flow may vary because of
irregular expenses, delayed payments, taxes, debt obligations, seasonal revenue,
and other financial factors.