Cash Runway

Cash Runway is the amount of time (typically months) you have before your business runs out of cash if current income and expenses stay the same.

Your cash reserve is the root of your business success. For accurate financial forecasting, itโ€™s crucial that you track:

  • Subscription-related cashflows (expansions, downgrades, and churn)
  • Cash burn

Data sources include:

  • Integrations to Subscription Management Software
  • Integrations to Accounting Software
  • Integrations to Payroll Software Software
  • Manual entries in Calqulate
  • Data import via API

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Formula

Cash Runway = cash balance / monthly burn rate

See also Cash Runway (as KPI).


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