FounderToProfit
Free tool

Burn Rate Calculator

Most founders estimate burn from a budget. Your bank account knows better. This calculator derives burn from what actually happened to your cash between two dates — and removes any money you raised, so the number measures the business rather than the fundraise.

Two bank balances

$
$
months

Optional. Adding it separates gross burn from net burn.

$

Optional. Investment, loans, owner contributions, grants — anything that isn't customer revenue.

$

Enter both balances and the number of months to see your burn rate.

How this is calculated

Net burn
(starting cash − ending cash − cash raised) ÷ months
Gross burn
net burn + (revenue collected ÷ months)
Runway
ending cash ÷ net burn

What this assumes

  • Cash raised is subtracted before burn is measured — financing is not operating performance.
  • The result is a period average. A single unusual month (an annual insurance payment, a tax bill) will pull it up.
  • Only cash movements count. Accrued expenses and unpaid invoices are invisible to this method by design.
  • Blank optional fields are excluded from the calculation rather than assumed to be zero.

Keep going

Startup Runway Calculator

Turn this burn rate into months of remaining time, with cut scenarios.

How to Calculate Startup Runway

Gross vs. net burn, and why the two produce very different survival estimates.

Break-Even Calculator

The volume at which burn stops entirely.

How to Create a Startup Business Plan

Where burn and runway belong in a plan someone will actually fund.