Skip to main content
STARTUP-FINANCE5 MIN READ

Calculate Runway and Milestone Fit

Calculate base runway, stressed runway, and milestone runway from a simple startup cash plan.

Eli has $960K cash, $185K monthly cash expenses, $55K monthly cash receipts, and a product milestone due in 20 weeks. The company wants to know whether it can reach that proof point before financing pressure becomes dominant. Runway = cash divided by net burn, then compare the result with the milestone and fundraising calendar. The common mistake is stopping at base runway and ignoring stressed receipts, one-time commitments, and the time needed after the milestone to raise or close capital. Net burn $185K monthly expenses - $55K cash receipts = $130K net burn. Use cash receipts, not booked revenue. The…

Read the full lesson

Sign up free — one personalized lesson every day, matched to your role and goals.

Already have an account? Sign in

← Back to library
Contact us