Enter your starting and ending cash over a period to calculate monthly burn rate, then see exactly how many months of runway your current cash provides.
Burn rate is the rate at which a business spends its cash reserves, typically measured monthly. It is the essential financial health metric for any business that is not yet profitable or is investing ahead of revenue -- startups, early-stage companies, and businesses in growth phases where expenses temporarily exceed income. Knowing your burn rate tells you exactly how fast you are consuming your cash cushion and gives you the lead time to make decisions before a crisis.
Runway is the number of months your current cash will last at your current burn rate. If your monthly burn rate is $16,667 and you have $150,000 in the bank, your runway is 9 months. That is the window you have to reach profitability, close new business, or raise additional capital. Runway is the most time-sensitive financial metric for any cash-burning business -- tracking it monthly is non-negotiable.
Runway can be extended by reducing burn rate (cutting discretionary expenses, renegotiating vendor contracts, reducing headcount) or by accelerating cash inflows (faster invoicing, upfront payment terms, new revenue). For service businesses, the fastest way to extend runway without cutting is to convert more proposals to closed contracts, reduce the gap between project completion and invoice payment, and eliminate scope creep that consumes cost without generating revenue. Updoot's project billing and invoicing tools exist specifically to close the gap between work delivered and cash collected.
Track planned versus actual spend across projects, departments, and time periods. Spot variances before they become problems and keep financial performance visible to the whole team.
Export hours, overtime, tips, bonuses, and mileage to Gusto, ADP, Paychex, and more. Gross pay calculated automatically. No manual reconciliation at the end of each pay period.
Convert tracked project time directly into client invoices. Approved hours become billable line items in one click so revenue that is earned gets captured and sent without delay.
Build profit and loss statements and track vendor scorecards in the same platform where your team manages projects, time, and HR. No separate finance tool required.
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