Runway Calculator
Calculate how many months your startup or business can operate before running out of cash. Enter your cash balance, monthly expenses, and revenue to see your runway and cash-out date.
How Startup Runway Is Calculated
Runway is the number of months a company can continue operating before running out of cash. It divides your current cash balance by your net monthly burn rate (expenses minus revenue). This metric is critical for founders, CFOs, and investors because it determines how much time you have to reach profitability, hit milestones, or raise the next funding round. Investors typically want to see 12-18 months of runway.
Runway Formula
Runway (months) = Cash Balance / Net Monthly Burn
Net Monthly Burn = Monthly Expenses − Monthly Revenue
Cash-Out Date = Today + Runway months
When to Start Fundraising
Begin fundraising when you have 6-9 months of runway remaining. The process typically takes 3-6 months from first meeting to money in the bank. Starting too late forces desperate negotiations and unfavorable terms. Starting too early may mean you lack the traction needed to command a strong valuation. Track your runway monthly and set calendar reminders at the 9-month and 6-month marks.
Extending Your Runway
There are two ways to extend runway: reduce expenses or increase revenue. Common cost-cutting measures include renegotiating vendor contracts, pausing hiring, and eliminating non-essential tools. On the revenue side, focus on faster sales cycles, price increases, or annual prepayment discounts. Reducing monthly burn by even 10-15% can add months of runway and significantly reduce fundraising pressure.
Tips for Getting Accurate Results
For the most accurate results, use up-to-date numbers from official sources. Double-check your inputs before calculating — small errors in the starting values can lead to significantly different outputs. If you are comparing scenarios, keep all variables the same except the one you are testing. Save or screenshot your results for future reference. This calculator uses standard formulas and is designed to give you a reliable quick estimate, though professional advice may be needed for complex situations.
Frequently Asked Questions
How much runway should a startup have?
12-18 months is the standard recommendation. This gives enough time to hit milestones, demonstrate traction, and raise the next round if needed. Less than 6 months is critical.
Should I use gross or net burn for runway?
Use net burn (expenses minus revenue) for a realistic runway. Gross burn ignores revenue and gives a worst-case scenario.
When should I start fundraising?
Begin when you have 6-9 months of runway left. Fundraising typically takes 3-6 months, so starting early prevents running out of cash during the process.
Is Runway Calculator free to use?
Yes, Runway Calculator is completely free with no sign-up, no login, and no hidden fees. The tool runs entirely in your browser — your data never leaves your device.
Is my data safe when using this tool?
Yes. This tool runs 100% in your browser using JavaScript. No data is sent to any server, stored in any database, or shared with any third party. When you close the page, processing stops immediately.