Cash runway calculator
Cash runway = cash in the bank ÷ net monthly burn, where net burn is monthly cash out minus monthly cash in. With AED 450,000 in the bank, AED 60,000 coming in and AED 110,000 going out each month, the runway is 9 months.
Reviewed by Countify's ACCA/FCCA chartered certified accountants · Updated
Include salaries, rent, VAT and corporate tax payments.
- Net monthly burn
- AED 50,000.00
- Runway
- 9 months
Results are estimates for general information, not tailored advice.
Runway on AED 450,000 of cash
Monthly cash in AED 60,000.
| Monthly costs | Net monthly burn | Runway |
|---|---|---|
| AED 90,000 | AED 30,000.00 | 15 months |
| AED 110,000 | AED 50,000.00 | 9 months |
| AED 160,000 | AED 100,000.00 | 4.5 months |
Don't forget quarterly VAT payments and the annual corporate tax payment.
Make the burn figure honest
Use cash, not profit: include VAT payments to the FTA, the annual corporate tax payment, visa renewals and annual licence fees, which tend to bunch up. Up-to-date bookkeeping is what makes this number reliable.
Frequently asked questions
How much runway should a startup have?
Aim for 12–18 months, and start raising or cutting costs before it drops below 6.
Bookkeeping and management accounts
Monthly bookkeeping in Xero, Zoho Books or QuickBooks with management accounts you can run the business on, for a fixed fee.