Who This Helps
You're a growth marketer who needs to move channel metrics without guesswork. You want to turn analysis into approved execution. The Founder Finance Basics Mission Pack is your shortcut.
Mini Case
Meet Ben. Revenue is up 20% this quarter, but cash is flat. He's stuck. His team wants to spend more on ads, but Ben can't explain why cash isn't growing. He uses the Runway Forecast mission from the Founder Finance Basics Mission Pack. In 3 steps, he builds a runway number he can explain and act on. Result: his team approves a new channel test within 7 days.
Do This Now (5 Steps)
- Grab your last 3 months of cash data. Pull your bank statements or accounting tool. You need starting cash, ending cash, and monthly burn.
- Calculate your runway. Divide your current cash by monthly burn. Example: $120k cash / $40k burn = 3 months. That's your number.
- Add one scenario. What if you cut spend by 12%? New burn is $35k. Runway jumps to 3.4 months. That's a safe guardrail.
- Write a one-sentence summary. "We have 3 months of runway at current spend, or 3.4 months if we trim 12%." This is your stakeholder headline.
- Share it in your next 1:1. Say: "Here's our runway forecast. It's based on real numbers. I recommend we test one channel with a 12% budget trim." No jargon, just facts.
Avoid These Traps
- Don't use revenue as a proxy for cash. Revenue is not cash. Check your bank balance.
- Don't ignore fixed costs. Your burn includes salaries, tools, and rent. Include them all.
- Don't assume growth solves everything. More revenue can mean more burn if you spend to get it.
- Don't skip the scenario. A single number is fragile. A range gives you confidence.
- Don't wait for a crisis. Run this forecast monthly. It takes 10 minutes.
- Don't hide bad news. Stakeholders respect honesty. A 3-month runway is fixable.
- Don't overcomplicate. A simple spreadsheet or even a napkin works. Accuracy beats complexity.
- Don't forget to update. Your burn changes. Recalculate after every major spend decision.
Your Win by Friday
By Friday, you'll have a runway forecast you can explain in 30 seconds. Your stakeholders will say "got it" instead of "huh?" You'll move from guesswork to a calm, approved plan. And you'll feel like a finance pro without the MBA.
Fun fact: Ben now does his runway check while his coffee brews. That's 3 minutes of peace before the chaos.