Cash Runway Calculator
Instantly estimate how many months your business can operate based on current cash, monthly revenue, and expenses. Essential for startups and financial planning.
Calculate Your Cash Runway
Enter your current financials below to get an instant, accurate estimate of your business runway and net burn rate. Perfect for startup founders and financial controllers.
Runway Estimator
Fill in your financial details to see your estimated cash runway breakdown
Total accessible cash in your business accounts
Average monthly income
Average monthly operating costs
Minimum cash reserve you want to maintain (optional)
Estimated Cash Runway
Breakdown based on your current net burn rate
Recommended Runway Benchmarks
General guidelines for cash runway based on business stage and funding status. These are industry averages and may vary based on your specific sector.
| Business Stage | Recommended Runway | Rationale |
|---|---|---|
| Pre-Seed / Idea Stage | 12 – 18 Months | Time to build MVP and achieve initial traction. |
| Seed Stage | 18 – 24 Months | Allows time to hit milestones and raise Series A. |
| Series A and Beyond | 18 – 36 Months | Longer cycles for scaling, hiring, and market expansion. |
| Bootstrapped / Profitable | 6 – 12 Months | Lower risk due to positive cash flow, but buffer needed for downturns. |
Cash Runway FAQ
Everything you need to know about calculating, managing, and extending your business cash runway.
Cash runway is the amount of time (usually measured in months) a business can continue operating before it runs out of cash, assuming no additional income or external funding. It is calculated by dividing your available cash balance by your monthly net burn rate.
Your monthly net burn rate is calculated by subtracting your total monthly revenue from your total monthly expenses. For example, if your monthly expenses are £15,000 and your revenue is £5,000, your net burn rate is £10,000 per month.
For early-stage startups, a runway of 18 to 24 months is generally recommended. This provides enough time to hit key product or revenue milestones, navigate unexpected challenges, and raise the next round of funding without facing immediate financial distress.
Yes, it is highly advisable. A safety buffer (e.g., 3 to 6 months of baseline expenses) ensures you have a financial cushion for emergencies, delayed customer payments, or unexpected market shifts, preventing you from operating right down to £0.