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Calculate gross burn and net burn from expenses, revenue and cash change — see efficiency and burn multiple.
Calculate gross burn and net burn from expenses, revenue and cash change — see efficiency and burn multiple.
Enter values above and click Calculate — results will appear here with the formula explained.
Gross burn is total monthly expenses regardless of revenue. Net burn is gross minus revenue — the actual cash decline. A $36.7k gross with $10k revenue is $26.7k net. Burn multiple is net burn divided by net new ARR, showing efficiency: $26.7k net / $5k new ARR = 5.34× is poor, while 1.2× is efficient. Cutting gross $5k or adding $5k revenue both cut net $5k, but revenue also grows ARR.
To use the Gross Burn Calculator, enter monthly expenses and revenue. Optionally add net new ARR to see burn multiple. The tool shows gross, net, multiple and runway implication. Example: $36.7k gross − $10k = $26.7k net, 15.7 months on $420k cash. Cutting 10% gross to $33k lifts runway to 18.1 months. Use the example to track both, not just net.
Gross Burn Calculator: Calculate gross burn and net burn from expenses, revenue and cash change — see efficiency and burn multiple. Formula: Gross burn = expenses. Example: $36,700 gross − $10,000 revenue = $26,700 net burn, 15.
Gross burn is total monthly expenses regardless of revenue. Net burn is gross minus revenue — the actual cash decline. A $36.7k gross with $10k revenue is $26.7k net. Burn multiple is net burn divided by net new ARR, showing efficiency: $26.7k net / $5k new ARR = 5.34× is poor, while 1.2× is efficient. Cutting gross $5k or adding $5k revenue both cut net $5k, but revenue also grows ARR.
To use the Gross Burn Calculator, enter monthly expenses and revenue. Optionally add net new ARR to see burn multiple. The tool shows gross, net, multiple and runway implication. Example: $36.7k gross − $10k = $26.7k net, 15.7 months on $420k cash. Cutting 10% gross to $33k lifts runway to 18.1 months. Use the example to track both, not just net.
$36,700 gross − $10,000 revenue = $26,700 net burn, 15.7 months runway on $420k. With $5k new ARR, burn multiple is 5.34× — very inefficient.
Formulas are standard public references (see our methodology). External standards are cited in the text where they apply.
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