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Burn Rate Calculator
This burn rate calculator will help you work out when your business will run out of money.
This burn rate calculator will work out the date when your business will run out of money - its zero cash date. You will then know how long your business will be able to keep going until it needs more funding.
This template will automatically input today's date. Simply fill out the boxes below the date. Start by entering the dollar amount of your cash and capital reserves, followed by your total monthly costs. Lastly, enter you average monthly receipts figure (include all funds you expect to deposit into your account).
Your cash zero date will automatically be generated by the template.
Using the burn rate calculator will allow you to be aware of your business's cash situation early. If you need to, you can then plan to make these changes to your business model.
You will also have a clearer idea about whether you can afford to expand, hire more staff or introduce another product line.
Originally shared on: www.commercebank.com
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