Description
Compare committed cash with available funds and calculate uncommitted runway on the supplied burn period.
Startup cash budgets distinguish available funds, committed outlays, restricted balances and expected receipts. Subtracting commitments can create a negative balance even while total cash remains positive; dividing by burn assumes a constant spending rate.
Compare committed cash with available funds and calculate uncommitted runway on the supplied burn period.
When to use this tool
Use Startup Burn Commitment Share when checking a supplied cash commitment, balance or runway contribution.
How to use the tool and how it works
- Enter cashAvailable, periodicBurn, committedCash. Use the units and conventions below.
- Run the tool. Correct any format, range, or cross-field input error before interpreting the output.
- Read uncommittedCash, committedShare, uncommittedRunway. Use the output convention below.
Require positive cashAvailable and periodicBurn and nonnegative committedCash. uncommittedCash = cashAvailable-committedCash; committedShare = committedCash/cashAvailable; uncommittedRunway = uncommittedCash/periodicBurn, in the burn-rate period.1
| Input field | Meaning and units | Accepted input |
|---|---|---|
| cashAvailable | Cash Available | Required. Finite number; strictly above 0. |
| periodicBurn | Periodic Burn | Required. Finite number; strictly above 0. |
| committedCash | Committed Cash | Required. Finite number; minimum 0. |
| Output field | Interpretation | Returned shape |
|---|---|---|
| uncommittedCash | Uncommitted Cash | Required. Finite number. |
| committedShare | Committed Share | Required. Finite number. |
| uncommittedRunway | Uncommitted Runway | Required. Finite number. |
{
"input": {
"cashAvailable": 100,
"periodicBurn": 10,
"committedCash": 30
},
"output": {
"uncommittedCash": 70,
"committedShare": 0.3,
"uncommittedRunway": 7
}
}Limitations and assumptions
- The share may exceed one and runway may be negative. The calculation assumes constant burn and does not check the timing or enforceability of commitments.
- Inputs must satisfy both the field types and the cross-field conditions above. Invalid input causes an error; a successful false flag or documented placeholder is a different result.
- Numeric calculations use binary floating point unless exact decimal-integer arithmetic is explicitly stated. No hidden measurement tolerance or decimal rounding is added; nonfinite or out-of-contract results are rejected. Numeric signed-zero results are exported as zero.
Alternative or Complementary methods
Use a dated cashflow forecast and the actual funding or payment terms when timing, changing burn or enforceability matters.
References
Similar or alternative tools
- Startup Experiment Loss Budget
Return the experiment budget remaining after spending and commitments, including a negative overrun.
- Runway Buffer At Burn Rate
Compare gross and reserve-adjusted runway under a constant monthly burn rate.