---
type: calculator
automation: ai-managed
update_frequency: weekly
last_updated: 2026-01-06
tags:
  - finance
  - runway
  - burn
---
# Runway Calculator

Cash runway and burn [[Rate]] tracking

## [[Current Status]] ([[Jan 2026]])

**Cash in Bank:** $100,000 (pre-seed from angels)

**Monthly Burn Rate:** $8,300

**Runway:** 12 months (until [[Jan 2027]])

## [[Monthly Burn Breakdown]]

| Category | Amount | [[Notes]] |
|----------|--------|-------|
| Salaries (founders) | $6,000 | $3K [[Each]] (minimal) |
| Cloud/[[Infrastructure]] | $800 | AWS, monitoring, tools |
| Software/Tools | $500 | [[GitHub]], Slack, etc. |
| Marketing | $500 | Ads, content |
| Legal/Admin | $500 | Bookkeeping, [[Compliance]] |
| **[[Total Burn]]** | **$8,300** | |

**Revenue (MRR):** $499
**[[Net Burn]]:** $7,801/month

## Runway Scenarios

### Scenario 1: Status Quo (No Growth)

Monthly burn: $8,300
Cash: $100,000
**Runway: 12 months**

Action required by: Jan 2027

### Scenario 2: First Hire (Q2 2026)

From [[Hiring Plan]]: Engineer at $120K/year = $10K/month

New burn: $18,300/[[Month]]
Remaining cash by Q2: ~$75,000 (3 months of burn)
**Runway after hire: 4 months**

⚠️ **Critical: Must raise seed before Q2 hire**

### Scenario 3: Revenue Growth

If we hit $10K MRR by Q2:
- Revenue: $10,000/month
- Burn: $18,300/month
- [[Net]] burn: $8,300/month
- Runway: Still ~9 months

Still need seed round to hire beyond first engineer.

### Scenario 4: Seed Round Closed

Target: $500K at $3M valuation
If closed Q2 2026:
- Cash: $75K (remaining) + $500K (seed) = $575K
- Burn with 3 hires: $35K/month
- Runway: 16 months (until Jun 2027)

## Fundraising Timeline

From [[Investor Pipeline]]:

| Milestone | Target Date | Required For |
|-----------|-------------|--------------|
| Start fundraise | Feb 2026 | 3-month process |
| First close | May 2026 | Q2 hire |
| Full close | Jun 2026 | Q3 hires |

**Deadline:** Must start fundraising by Feb 1, 2026

## Monthly Tracking

| Month | Cash | Burn | Revenue | Net Burn | Runway |
|-------|------|------|---------|----------|--------|
| Nov 2025 | $108K | $8K | $0 | $8K | 13.5mo |
| Dec 2025 | $100K | $8.3K | $499 | $7.8K | 12mo |
| Jan 2026 | $92K | $8.3K | $499 | $7.8K | 11mo |

## Alerts

🔴 **Red Flags:**
- Runway ( 6 months → Emergency fundraise mode
- Revenue < $5K MRR by Mar 2026 → Rethink hiring plan

🟡 **Yellow Flags:**
- Runway < 9 months → Start fundraising now
- Burn increasing without revenue growth

🟢 **Green Signals:**
- Runway ) 12 months
- Revenue growing >30% MoM
- Path to profitability visible

**[[Current]] [[Status]]: 🟡 Yellow** (12 months runway, [[But]] [[Need]] to start fundraising for Q2 hire)

## Actions

- [ ] Start seed fundraise by [[Feb 1]] ([[Investor Pipeline]])
- [ ] Reduce burn if possible (review subscriptions)
- [ ] Accelerate revenue ([[MRR Tracker]] growth plan)
- [ ] Update [[This]] tracker weekly

## [[Related]]

- Revenue: [[MRR Tracker]]
- Fundraising: [[Investor Pipeline]]
- Hiring: [[Hiring Plan]]
- Owner: [[Jamie Patel]] (monitors weekly)
