E13Advanced

Runway Calculation

30 minWhen planning finances

Format: Calculate how long your project can "survive."

Formula: Runway = Available funds / Monthly expenses

Exercise:

Your project's monthly expenses:
- Cloud services (Vercel + Supabase): $50
- Domain: $1/month
- AI API calls: $100
- Third-party SaaS: $30
- Total: $181/month

You have a $2,000 budget.
Runway = $2,000 / $181 β‰ˆ 11 months

Questions:
- Can you become profitable within 11 months?
- How can you reduce monthly expenses?
- When do you need to start generating revenue?

My Notes