Total the money it takes to launch and the cash to run until you break even.
A startup costs calculator totals the one-time costs to launch a business plus the cash needed to cover monthly losses until it breaks even, your required runway.
Launching takes two kinds of money: one-time startup costs (equipment, legal, initial inventory) and enough cash to fund monthly operating losses until revenue catches up. The calculator adds the one-time costs to your net monthly burn, operating costs minus expected revenue, over your runway, giving the total cash you need to raise or save before starting.
Most startups fail by running out of cash, not by lacking a good idea, so underestimating runway is the classic mistake. Building in a cushion beyond the base estimate, because revenue almost always arrives slower and costs run higher than planned, is prudent. Extending runway or lowering burn buys the time a young business needs to find its footing.
One-time costs plus your net monthly burn over your runway. Enter both above to see the total cash needed to launch and operate.
The number of months your cash will cover operating losses before the business breaks even. Running out of runway is the top reason startups fail.
More than you think, revenue usually arrives slower and costs run higher than planned, so building in extra runway is prudent.
See the exact formula and a worked example on our methodology page.