Cash Runway Calculator
A cash runway calculator shows how many weeks a business can keep paying its bills at its current rate of cash burn. This one rolls your cash forward 13 weeks, week by week, including a one off payment, and marks the lowest point. It is built for owners and leaders of Australian businesses between $3M and $30M who want to know, in two minutes, whether cash is a this week problem or a this quarter one.
Your numbers
Collections, not sales.
Wages, suppliers, rent, tax and loan repayments.
For example a BAS, insurance or equipment payment.
19 weeks of cash at today's burn, after the one off payment
Net cash change per week
-$6,923
Lowest cash point in 13 weeks
$45,000
Week it lands
Week 13
WatchYou stay above zero but drop under your floor in week 11. Thirteen weeks of visibility is what stops this becoming a surprise.
Who this is for
Owners and leaders of Australian businesses between $3M and $30M in revenue who want a straight answer from their own numbers, without a spreadsheet or a sales call. It takes about 2 minutes.
How the calculation works
Monthly cash in and cash out are turned into weekly figures by multiplying by 12 and dividing by 52. The difference is your net cash change per week.
Starting from today's bank balance, the calculator adds a week of cash in, takes away a week of cash out, and takes away the one off payment in the week it falls. It repeats that for 13 weeks and finds the lowest closing balance.
If cash is going backwards, runway is your cash after the one off payment divided by the weekly burn, rounded down to whole weeks.
Built from work carried out earlier in Adam's career.
Common questions
What is cash runway?
- Cash runway is the number of weeks a business can keep paying its bills from the cash it holds, at its current rate of cash burn, before it runs out.
Why does the calculator use 13 weeks?
- Thirteen weeks is one quarter, which is long enough to see a cash dip coming and short enough to forecast with confidence from known receipts and payments.
Should I use sales or collections for cash in?
- Use collections, the cash that actually arrives in the bank each month, because sales that are not yet paid cannot cover wages or suppliers.
See the whole business, not one number
The free Operating Scan is 21 plain statements about how the business actually runs, answered Not us to Always, in about six minutes.