Cash Runway

Noun · Startup & VC

Definitions

  1. The amount of time a company can continue operating before running out of cash, based on current burn and expected inflows. Runway determines how urgently a startup must raise, cut costs, or hit milestones.

    In plain English: How long the company can survive before its cash runs out.

    Example: "At the current burn, cash runway is about nine months."

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