Burn Rate Analysis
Know exactly what is shortening your runway.
A focused analysis of cash use, timing, spend drivers, and the actions that materially extend survival.
Analysis
Turn one runway number into an operating plan.
- Gross and net burn
- Base-case runway
- Spend concentration
- Collection timing
- Hiring scenarios
- Runway extension plan
Runway is a range, not a fixed date
A simple average hides payroll dates, annual contracts, delayed receivables, seasonal revenue, and one-time costs. WGF builds a more realistic cash view and shows which assumptions create the greatest risk.
Core formula: available cash รท monthly net burn = estimated runway. The decision-quality version adds timing and scenarios.
Prioritize changes that buy meaningful time
The objective is not indiscriminate cost cutting. It is identifying spending that does not support the next milestone and protecting the investments that do.
FAQ
Can the analysis include hiring plans?
Yes. Hiring, revenue timing, financing, and cost reductions can be modeled as separate scenarios.
Is this only for companies in distress?
No. The best time to analyze burn is while founders still have options and negotiating leverage.