This excludes future receipts and uses historical average payments, so it differs from net-burn runway.
Try this with your own numbersFormula and worked example
Cash days = cash / (period payments / period days)
| Input | Example |
|---|---|
| Available unrestricted cash | 24,000 |
| Operating payments in period | 36,000 |
| Days in period | 90 |
| Calculated result | 60 days |
Choose reliable inputs
Account for delivery time, review work and when you expect to be paid for each engagement. For this recruitment agency calculation, use time sheets, engagement scopes and invoice ageing and a consistent definition of one placement.
- Sourcing: include the portion belonging to this placement or reporting period, and record where the value came from.
- Screening: include the portion belonging to this placement or reporting period, and record where the value came from.
- Account management: include the portion belonging to this placement or reporting period, and record where the value came from.
Use the same currency for every money input. Do not mix weekly costs with monthly revenue, or count the same expense in both an itemised cost and allocated overhead.
How many days of payments does my cash cover?
This excludes future receipts and uses historical average payments, so it differs from net-burn runway.
What if this input changes?
If available unrestricted cash rises by 10%, this example changes by 6 days. This shows the effect of one change; it does not predict what will happen.
Open the calculator, save your baseline, then change the input supported by the least reliable estimate in your records. Compare both scenarios before committing to a price or capacity promise.