The months a business can keep operating with its cash if receipts do not cover payments: cash ÷ net monthly burn.
An example
With €30,000 and a net burn of €5,000 a month, the runway is 6 months.
The months a business can keep operating with its cash if receipts do not cover payments: cash ÷ net monthly burn.
With €30,000 and a net burn of €5,000 a month, the runway is 6 months.