Free Tool
Startup Runway Calculator
How many months until you run out of money? Enter your numbers and find out instantly.
What is startup runway?
Startup runway is the number of months your business can operate before running out of cash. It is calculated by dividing your total cash on hand by your monthly burn rate (expenses minus revenue).
How to calculate burn rate
Net burn rate = monthly expenses minus monthly revenue. If you spend $8,000/month and earn $3,000/month, your net burn is $5,000. With $50,000 in the bank, you have 10 months of runway.
How much runway should a startup have?
Most advisors recommend 12 to 18 months of runway. Less than 6 months is considered critical. For bootstrapped founders, the goal is to reach profitability before cash runs out.