Glossary · Operating finance
Runway
How many months your company can keep operating at the current burn rate before cash runs out. Longer runway usually means more time to fix product or raise.
Related: Burn rate · Bridge round · Bootstrapping
A bit more nuance▾
- Runway ignores surprise revenue or cost cuts — it is a snapshot.
- Investors watch runway to see if you can reach the next milestone.
Go deeper▾
Discussion questions▾
- At what runway number do you personally start losing sleep?
- What one lever extends runway fastest in your business?
Educational reference only — not legal, tax, or investment advice. Terms vary by country and deal; ask a qualified professional when it matters.