Burn Rate & Runway Calculator
Calculate your monthly cash burn rate and how many months of runway you have left.
Results are for general guidance only — not professional advice. Learn more.
How to use this tool
Choose a calculation mode using the toggle above.
Calculate Runway: Enter your current monthly burn rate (total net cash spent per month) and your current cash balance. The calculator will tell you how many months and weeks of runway you have, plus your daily burn rate.
Calculate Burn Rate: If you know your starting and ending cash positions over a period, enter those values along with the number of months to calculate your average monthly burn rate, annual burn, and daily burn.
Results update automatically as you type.
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Frequently asked questions
What is burn rate?
Burn rate is the speed at which a company spends its cash reserves. Monthly burn rate is the net cash a startup consumes each month before reaching profitability. It is a critical metric for understanding how long a company can operate before needing additional funding.
What is a good runway?
Most investors and advisors recommend maintaining at least 12–18 months of runway at all times. This gives you enough time to hit milestones, raise your next round, or pivot if needed. Falling below 6 months is considered a danger zone.
What is the difference between gross and net burn rate?
Gross burn rate is total monthly cash expenditure — all the money going out. Net burn rate is gross burn minus revenue — the actual net cash lost per month. If you have £50,000 in expenses and £20,000 in revenue, your gross burn is £50,000 but your net burn is £30,000.
How do I reduce my burn rate?
Common ways to reduce burn rate include: renegotiating supplier and vendor contracts, reducing headcount or moving to part-time/contractor arrangements, cutting non-essential software subscriptions, moving to a cheaper office or going remote, and accelerating revenue generation to increase the offset against expenses.