Runway Calculator
Calculate how many months your cash will last based on cash on hand and monthly burn rate. Free runway tool for startups and small business cash management.
Inputs
Enter the minimum numbers needed to get a result.
Formula and example
Runway = Cash on hand / Monthly burn rate
With $100,000 in cash and a $15,000 monthly burn rate, your runway is 6 months — cash runs out in about 6 months.
Methodology & assumptions
Last updated: 2026-06-12Calculation method
Divides cash on hand by monthly burn rate to calculate runway in months. Assumes constant monthly burn and no additional revenue or funding during the period.
Data sources
Uses the numbers you enter and standard small-business finance formulas. Benchmark comparisons use HustleFin industry benchmark pages where available.
Limitations
Assumes flat burn rate with no new revenue or funding. Does not model growth, seasonal changes, or one-time expenses. Best for rough planning.
Input definitions
- Cash on hand: Current cash and cash equivalents you can access immediately.
- Monthly burn rate: Average monthly cash outflow including all operating expenses.
Frequently asked questions
What is runway?+
Runway is how long your cash will last at your current spending rate. If you have $100,000 and spend $15,000/month, you have about 6 months of runway.
How much runway should a startup have?+
Most investors recommend 12-18 months of runway. Less than 6 months is a warning sign that fundraising or cost cutting is urgent.
Does runway include revenue?+
This calculator assumes no revenue. Use the cash flow forecast for a more detailed model that includes projected income.
What is a burn rate?+
Burn rate is the amount of cash a business spends each month. Gross burn is total expenses. Net burn is expenses minus revenue.
Related guides
Go deeper with in-depth guides on the concepts behind this calculator.
Continue the workflow
Forecast cash flow, evaluate investment returns, then plan loan repayments.