Calculate monthly burn rate — enter starting cash, ending cash, and the number of months to see how much cash your business spends per month. Results update live as you type.
Frequently Asked Questions
How is monthly burn rate calculated?
Monthly burn = (Starting cash − Ending cash) ÷ Months. If cash dropped from $500,000 to $350,000 over 3 months, burn is $50,000 per month and $150,000 total.
What is gross vs. net burn?
Gross burn is total monthly spending. Net burn subtracts revenue — it is the actual cash decrease per month. This calculator measures net burn from cash balance changes.
How do I use burn rate to plan runway?
Divide cash on hand by monthly burn to get runway in months. Use the Startup Runway Calculator for a quick answer.
What if ending cash is higher than starting cash?
That means you are cash-flow positive — burn is negative (you are adding cash). The calculator shows a negative monthly burn in that case.
Is this tool free and does it work on mobile?
Yes on both counts. The Burn Rate Calculator on draft21 is completely free with no sign-up required and works on all devices.