Calculate your startup's burn rate and runway. Understand how long your cash will last and plan for future funding rounds.
Connect SpendPilot to QuickBooks and monitor your burn rate in real-time with automated financial insights
Total cash available in your bank accounts
Average monthly recurring revenue
Average monthly operating expenses
Make data-driven decisions about your startup's finances. Calculate burn rate, plan for fundraising, and ensure you have enough runway to reach your next milestone.
Calculate both gross and net burn rates to understand your true cash consumption. See exactly how much runway you have left.
Understand how long your cash will last at current spending levels. Plan fundraising timelines and make informed decisions.
Get actionable insights about your financial situation. Receive warnings when runway is getting low and suggestions for improvement.
Understanding burn rate and runway is critical for startup survival and planning.
Burn rate is the rate at which a company spends its cash reserves. Gross burn rate is total monthly expenses, while net burn rate is expenses minus revenue.
Runway is how long your company can operate with its current cash balance before running out of money, based on your net burn rate.
Most investors recommend maintaining at least 12-18 months of runway. This gives you enough time to hit milestones, fundraise, or adjust your business model.
Focus on cutting non-essential expenses, negotiating better rates with vendors, reducing headcount growth, or increasing revenue. Review your largest expense categories first.
Gross burn rate is your total monthly expenses. Net burn rate is expenses minus revenue, showing how much cash you're actually losing each month.
Start fundraising or taking action when you have 6-9 months of runway left. It typically takes 3-6 months to close a funding round, so plan ahead.
Calculate your burn rate monthly to track trends. Review it weekly if you're approaching low runway or making significant changes to your business.
Congratulations! You're cash flow positive, meaning your business generates more money than it spends. Your runway is infinite as long as this continues.