Burn Rate Calculator
Calculate gross and net monthly burn rate for a startup or growing business.
How to Use the Burn Rate Calculator
Enter monthly cash expenses and monthly cash revenue. The calculator shows gross burn as expenses and net burn as expenses minus cash revenue.
Practical Example
If monthly cash expenses are USD 100,000 and monthly cash revenue is USD 35,000, gross burn is USD 100,000 and net burn is USD 65,000 per month.
Factors That Affect Burn Rate
Hiring, marketing, rent, cloud costs, product development, seasonality and revenue growth can materially change monthly burn.
Frequently Asked Questions
Can net burn be negative?
Yes. That means cash revenue exceeds the expenses entered.
Is burn rate the same as accounting loss?
No. Burn rate focuses on cash movement.
Why track net burn?
Net burn is commonly used with cash balance to estimate runway.
Gross Burn vs. Net Burn
Gross burn focuses on cash operating outflows, while net burn reflects the net decrease in cash after inflows such as customer revenue. Startup runway calculations commonly use net burn. Large one-time payments or seasonal revenue can distort a single-month figure, so multi-month averages may provide better context.