🔥Burn Rate Calculator

Calculate monthly cash burn rate and runway for startups.

Monthly Expenses ($)

Monthly Revenue ($)

Cash Reserves ($)

About Burn Rate Calculator

Calculate your startup's monthly burn rate and cash runway — how many months of operating funds remain at your current spending pace. Understanding burn rate is critical for startup founders and CFOs to make informed decisions about fundraising timing, hiring, and cost management before reaching zero cash.

How to Use Burn Rate Calculator

1
Step 1
Enter your current cash balance in the bank.
2
Step 2
Enter your average monthly expenses (gross burn) and monthly revenue.
3
Step 3
View your net burn rate and the calculated runway in months.

Common Use Cases

Startup founders monitoring how long their current funding will last
CFOs preparing board updates and fundraising timeline recommendations
Investors evaluating a startup's financial position and fundraising urgency
Founders deciding when to begin the next fundraising round based on runway

Frequently Asked Questions

What is burn rate?

Burn rate is the rate at which a company spends its cash reserves. Gross burn is total monthly spend. Net burn is monthly spend minus revenue — it's the net burn rate that determines your actual runway.

What is a good runway for a startup?

Most startup advisors recommend maintaining at least 18–24 months of runway at all times, especially before a Series A or B fundraise, giving time for product development and investor conversations.

How does revenue affect burn rate?

Net burn rate = gross burn (total expenses) minus revenue. As revenue grows, net burn decreases. A company reaches profitability when revenue exceeds expenses (zero net burn).