Decision calculator

Startup Burn Rate Calculator

Calculate gross and net burn, revenue coverage, runway, and burn multiple (net burn ÷ net new ARR) from monthly cash figures.

Modeled result

Calculating…

Results update as you change the inputs.

    Methodology and assumptions

    Net burn = monthly cash expenses − monthly cash revenue, floored at zero. Gross burn = monthly cash expenses. Runway = cash ÷ net burn. Burn multiple = net burn ÷ (net new MRR × 12), i.e. cash burned per dollar of net new annualized recurring revenue; the rating bands follow David Sacks' published burn-multiple scale and are a heuristic, not a standard.

    Currency outputs are rounded to the nearest minor currency unit.

    Pricing last verified:

    Frequently Asked Questions

    What does the Startup Burn Rate Calculator calculate?

    Calculate gross and net burn, revenue coverage, runway, and burn multiple (net burn ÷ net new ARR) from monthly cash figures.

    How accurate is the Startup Burn Rate Calculator?

    It is a planning estimate based on the inputs, formula, assumptions, and sources shown on this page. Actual prices, invoices, taxes, discounts, and outcomes can differ.

    Which pricing source does the Startup Burn Rate Calculator use?

    The calculator links to U.S. Small Business Administration finance guidance as its official source. The displayed pricing or reference data was last verified on 2026-10-01.

    Are calculator inputs saved or sent to analytics?

    Inputs are processed in your browser. Calculator values are not included in analytics events.