# Burn rate

Concept · [Business and metrics](https://ecosystem.samcarlton.com/business)

Also called: burn, cash burn, monthly burn, net burn

How fast your company is using up its cash, usually counted per month. 'Net burn' is what you spend minus what you bring in.

**For example:** You spend 15,000 dollars a month and bring in 5,000 dollars. Your net burn rate is 10,000 dollars a month.

## Connects to (9)

- [Runway](https://ecosystem.samcarlton.com/runway): How many months your company can keep going before the money in the bank runs out, if spending stays the same.
- [Break-even](https://ecosystem.samcarlton.com/break-even): The point where the money coming in equals the money going out, so the business is no longer losing money.
- [Profit](https://ecosystem.samcarlton.com/profit): What is left of your revenue after every cost is paid.
- [Default alive](https://ecosystem.samcarlton.com/default-alive): A phrase from investor Paul Graham.
- [Cash flow](https://ecosystem.samcarlton.com/cash-flow): The timing of money coming into and going out of a business.
- [Spreadsheet](https://ecosystem.samcarlton.com/spreadsheet): A grid of rows and columns for numbers and lists, with formulas that calculate totals.
- [QuickBooks](https://ecosystem.samcarlton.com/quickbooks): Accounting software from Intuit for small businesses, used for bookkeeping, invoices, expenses and financial reports.
- [Relay](https://ecosystem.samcarlton.com/relay-financial): An online business banking app for small businesses, with several accounts and cards to organize money by purpose.
- [Fractional CFO](https://ecosystem.samcarlton.com/fractional-cfo): A part-time chief financial officer.

Map view: https://ecosystem.samcarlton.com/burn-rate
