Burn Rate Calculator
Work out your gross and net monthly cash burn.
NET BURN / MONTH
$30,000
$50,000
Gross burn
$20,000
Revenue
Net burn = spend − revenue. A negative net burn means you're cash-flow positive.
What is Burn Rate?
Burn rate is how much cash your business spends each month. Gross burn is your total monthly operating spend; net burn subtracts revenue to show how fast you're actually depleting the bank.
Gross burn = monthly spend · Net burn = spend − revenue
How to read your result
- Gross burn ignores revenue — it's your raw monthly cost base.
- Net burn is the number that actually drains your runway.
- A positive net burn means you're losing cash; negative means you're cash-flow positive.
- Pair this with cash on hand to see how many months of runway you have.
Frequently asked questions
What's the difference between gross and net burn?
Gross burn is your total monthly cash spend. Net burn subtracts revenue from that spend, showing how much cash you actually lose each month.
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