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Finance

Burn Rate Calculator

Measure gross and net burn from your bank statements.

Results

  • Net burn rate$30,000/mo
  • Gross burn rate$42,000/mo
  • Total cash consumed$180,000
Net burn = cash actually leaving the bank each month.Gross burn = total operating spend before revenue offset. Investors usually quote net.

About this tool

Plug in starting cash, ending cash, the time period, and average revenue — get your true net burn (cash leaving the bank) and gross burn (operating spend before revenue offset). The numbers investors actually ask about.

What it does

  • Net burn rate per month
  • Gross burn rate per month
  • Total cash consumed in period
  • Investor-ready definitions

Use cases

  • Preparing investor updates
  • Tracking burn after a fundraise
  • Diagnosing why cash is dropping faster than expected

FAQ

What's the difference between gross and net burn?

Gross burn is total operating spend per month. Net burn is gross burn minus revenue — the actual cash leaving your bank. Investors usually quote net.

What's a healthy burn rate?

Healthy burn is whatever leaves you 18+ months of runway. Absolute numbers depend on stage, headcount and revenue.