#975 · Startup Tool

Founder Funding Calculator

Estimate how much funding your startup should raise to hit a target runway, including current cash, monthly burn, revenue growth, and safety buffer. Use it before planning a funding round.

Calculator

Startup assumptions
$
$
months
%
Ad space

How to use this calculator

  • Enter current cash balance.
  • Enter monthly net burn after revenue.
  • Set target runway in months.
  • Add a safety buffer for hiring, delays, or lower-than-expected revenue.

What the result means

The result estimates how much capital is needed to reach the target runway. If current runway is already sufficient, the required raise may be zero.

Current runway = cash balance ÷ monthly net burn. Required funding = target runway × monthly net burn - current cash. Funding with buffer = required funding × (1 + safety buffer).

This estimate assumes a stable burn rate. If burn or revenue is changing quickly, run multiple scenarios.

Example calculation

With $800,000 cash, $60,000 monthly burn, and 18-month target runway, the base need is $280,000. With a 20% buffer, required funding is about $336,000.

Tips for better results

  • Start fundraising before runway drops below 9 to 12 months.
  • Model hiring separately from current burn.
  • Raise enough to reach a valuation-improving milestone.
  • Avoid raising more than needed if dilution is severe.

FAQ

How much funding should my startup raise?

A startup should usually raise enough to reach the next major milestone with a reasonable runway and safety buffer.

When should founders start fundraising?

Many founders start fundraising when they still have 9 to 12 months of runway to avoid negotiating under cash pressure.

How much runway do investors expect?

Investors often prefer 12 to 24 months of runway depending on stage, market, and burn efficiency.

How does burn rate affect funding needs?

Higher burn increases required funding and can cause more dilution unless valuation also improves.

Should I raise more than I currently need?

Raising extra capital can reduce risk, but it may increase dilution. The best amount depends on milestones and market conditions.

Startup decision modules

ModuleWhat it shows
Funding SummaryRequired raise and buffer-adjusted funding need.
Runway CheckCurrent runway compared with target runway.
Cash GapHow much cash is missing from the target plan.
RecommendationRaise timing and cash planning guidance.

Browse more calculators

Category hubs