Who This Helps
Product Managers who are tired of turning product questions into endless debates. You want to turn analysis into approved execution. The Founder Finance Basics Mission Pack is built for you.
Mini Case
Meet Ben. Revenue is up 12% this quarter, but cash is flat. He can't explain why. His team asks for more features, but he doesn't know if the company can afford them. Ben uses the Runway Forecast mission from the Founder Finance Basics Mission Pack. In 7 days, he builds a one-page forecast that shows exactly how many months of cash he has left. Now he can say yes or no with confidence.
Do This Now (5 Steps)
- Grab your last three bank statements. Look at your ending cash balance for each month.
- List your monthly expenses. Include salaries, software, rent, and marketing. Add them up.
- Calculate your monthly burn. Subtract your total expenses from your revenue. If you spend more than you earn, that's your burn rate.
- Divide your cash by your burn. That number is your runway in months. For example, $120k cash divided by $10k burn equals 12 months.
- Write a one-sentence decision rule. Example: "If runway drops below 6 months, we freeze new hires."
Avoid These Traps
- Don't forget one-time costs. A big software renewal or a hiring bonus can mess up your forecast.
- Don't assume revenue stays flat. If you're growing fast, your burn might grow faster. Update your forecast monthly.
- Don't hide the number. Share your runway with your team. It keeps everyone honest and focused.
Your Win by Friday
By Friday, you'll have a one-page runway forecast card. You'll know exactly how many months of cash you have. You'll be able to say yes to the right features and no to the wrong ones. That's a calm, measurable decision. And that's a win.