Burn and Runway
Burn rate and runway writing: cash discipline, the 18-month rule, layoffs done right, and extending without diluting.
10 articles
When to Burn More: Why Spending More Is Sometimes the Right Move
Burn rate reduction is not always the optimal strategy. In competitive markets with short windows, spending more to acquire market share or accelerate product development can…
Burn Rate Improvement Strategies: What Actually Works for Startups
Reducing burn rate requires choices: cut costs, improve revenue, or both. Some approaches work (negotiating vendor contracts, automating operations, firing underperforming…
Burn Rate by Department: Granular Cash Flow Analysis for Startups
Company-wide burn rate hides departmental inefficiencies and overspending. Break burn down by department (Engineering, Sales, Marketing, Operations) to identify where money is…
Burn Rate Trends: Creating Early Warning Dashboards for Startups
Early warning dashboards track burn rate trends before they become crises. Learn how to build real-time visibility into your cash burn, identify concerning patterns, and take…
Runway Calculation: How Many Months of Survival on Current Cash
Runway = Cash on hand / Monthly burn. Use net burn for profitability path, gross burn for conservative estimate. Most founders target 18-24 month runway post-Series A. Declining…
Gross Burn vs Net Burn: Which Startup Metric Actually Matters
Gross burn determines months of runway left. Net burn shows progress to profitability. Early stage focuses on gross burn (cash runway). Growth stage with revenue focuses on net…
Startup Runway Calculator: How to Model Your Burn Rate and Survival Timeline
Burn rate benchmarks by stage, when to start fundraising, Paul Graham's default alive framework, and how revenue growth extends runway nonlinearly.
Bridge Rounds: When They Save Your Company and When They Bury It
A bridge round is a small financing, usually $200K to $1M, designed to extend runway until a larger round closes or until the company hits a specific milestone. When used…
Bridge Round Strategy: When and How to Raise One
Master bridge round financing: when to raise, terms, and structure. Use bridge rounds to extend runway and set up successful Series A closes.
Working Capital Management for Early-Stage Startups
Master working capital management to extend your runway. Learn cash conversion cycles, receivables strategy, and payables optimization for early-stage startups.