Managing cash reserves and forecasting operational runway is essential for startup founders planning hiring budgets, vendor commitments, and fundraising timelines. This calculator evaluates your company’s current cash balance against monthly operating expenses and revenue to determine net burn rate, total remaining runway in months, and financial sustainability status.

### How Startup Cash Runway Is Calculated The calculator models monthly cash flow using core venture finance principles: - **Net Monthly Burn Rate**: Subtracts Monthly Recurring Revenue (MRR) from gross operating expenses: `Net Burn = Gross Expenses - Monthly Revenue`. - **Financial Status Determination**: If revenue matches or exceeds expenses (`Net Burn <= 0`), the company is categorized as "Default Alive" (cash flow positive), with net profit expanding cash reserves. - **Runway Duration**: If operating at a net loss, divides total available bank cash by net monthly burn: `Runway (Months) = Cash Balance / Net Burn`. - **Fundraising Lead Time**: Identifies critical milestones, recommending founders launch venture capital or debt fundraising rounds when runway reaches 6 months remaining.

### Worked Financial Runway Example Consider an early-stage SaaS startup with the following financial parameters: - **Cash Balance**: `$350,000` - **Gross Monthly Expenses (Payroll, Cloud, Office)**: `$42,000/month` - **Monthly Recurring Revenue (MRR)**: `$14,000/month` - **Net Monthly Burn**: `$42,000 - $14,000 = $28,000/month` - **Cash Runway**: `$350,000 / $28,000 = 12.5 months` - **Recommendation**: Cash reserves will sustain operations for 12.5 months. The leadership team should plan to begin their next funding round within 6.5 months (at the 6-month runway threshold).

### Client-Side Financial Privacy All financial balance figures, payroll expense inputs, and runway projections are computed 100% inside your local browser runtime. No company financial records or sensitive balance sheets are sent across external networks.