Founder Parameters

Startup Finance

Current balance (£) Include current account + withdrawable deposits

Current MRR ($/month)

MRR Growth Rate (%) / month YC Benchmark: 5-7%/wk (early), Realistic Monthly Rate: 5-15%.

Expenses and Taxation

Fixed burn rate (£/month) Salaries, office space, fixed infrastructure, SAAS (Software as a Service)

Variable costs (as a % of MRR) Stripe commissions, variable AWS fee, referrals. Typical range is 15-30%.

Recoverable VAT (MRR %) VAT credit on B2B purchases Typical range: 3-8% of monthly recurring revenue (MRR).

Country of residence (tax regime)

Include periodic fiscal deadlines Estimate prepayments in the months of expiration for Federico Calo.IT

Forecasting for 2 Years - Cash Flow vs MRR vs Runway

Cash box or Cash registerMean Reciprocal Rank (MRR)Burning

Month 1June MonthMonth 12Month 18Month 24

Monthly subscription (12 months)

Month	Monthly Recurring Revenue (EUR)	Burning money (£)	Fees (£/€)	Start Fee (£)	Fine Amount (£)
1	5,000	15,750	-	100,000	89,250
2	5,500	15,825	-	89,250	78,925
3	6,050	15,907	-	78,925	69,068
4	6,655	15,998	-	69,068	59,725
5	7,321	16,098	-	59,725	50,948
6	8,053	16,208	-	50,948	42,793
7	8,858	16,329	-	42,793	35,322
8	9,744	16,462	-	35,322	28,604
9	10,718	16,608	-	28,604	22,714
10	11,790	16,768	-	22,714	17,736
11	12,969	16,946	-	17,736	13,759
12	14,266	17,140	-	13,759	10,885
13	15,692	17,353	-	10,885	9,224
14	17,261	17,589	-	9,224	8,896
15	18,987	17,848	-	8,896	10,035
16	20,886	18,133	-	10,035	12,788
17	22,975	18,446	-	12,788	17,317
18	25,272	18,790	-	17,317	23,799
19	27,800	19,170	-	23,799	32,429
20	30,580	19,587	-	32,429	43,422
21	33,637	20,045	-	43,422	57,014
22	37,001	20,550	-	57,014	73,465
23	40,701	21,105	-	73,465	93,061
24	44,772	21,715	-	93,061	116,118

Methodological Notes and Limits

No progressive modeling of IRPEF, a single rate for each country.
No safe or convertible debt financing track record: no prior rounds included.
No currency exchange: all values are in Euros.
No churning MRR: the MMR grows without churning (optimistic scenario).
No extraordinary capital expenditures or one-time operating expenses.

Come utilizzare Runway Calculator EU

Insert cash, MRR and growth

Set current cash available, monthly MRR and expected monthly growth rate in the "Startup Finance" column.

Configure burn rate and tax country

Insert fixed monthly burn, variable costs (% of MRR), VAT recoverable and select the country to apply simplified tax regime (IT/DE/FR/ES/UK/NL).

Read the verdict live

The top banner shows the estimated runway time in months and a colored verdict (caution/warning/okay/good) that updates in real-time with every change.

Analyze monthly graph and table

Chart (SVG) compares cash, MRR and burn over 24 months, while the table below shows monthly breakdowns including estimated tax deadlines.

Suggerimenti

Break-even shown is only operational (MRR >= burn): does not include depreciation, financial costs or extraordinary events - use as a trend indicator, not exact forecast.
If the runway is less than 6 months, the tool marks it as "dangerous": this is a signal to start a round of fundraising or cut non-essential costs immediately.
Recalculate periodically with updated data: compound growth of MRR makes projections very sensitive to even small changes in growth percentage.

Domande frequenti

What is a startup runway?

Runway is the number of months a startup can operate with available funds before exhausting its cash, given current burn rate (net monthly expenses). A runway < 6 months is critical and requires immediate fundraising or cost reduction.

How is MRR growth calculated in the forecast?

The forecast uses compound growth: mrr_month_n = initial_mrr × (1 + growth%/100)^n. With 10% monthly and €5,000 initial MRR, by month 12 the MRR exceeds €15,000. Compound growth is highly sensitive: even +5% monthly doubles the MRR in ~14 months.

What does burn rate include in the calculator?

Total monthly burn = fixed costs (salaries, office, servers) + variable costs (% of MRR: Stripe commissions, AWS variable costs) - recoverable VAT (VAT credit on B2B intra-EU purchases). The tool does not include depreciation or financial liabilities.

How do EU fiscal deadlines work in the forecast?

Tax estimate is based on the tax deadline (e.g. June and November in Italy, quarterly rates for DE/FR). The rate is simplified (IT 24%, DE 25%, FR 25%, ES 23%, UK 25%, NL 19%) on operating profit only. No progressive IRPEF or prior fiscal losses are modeled.

When does it reach operational break-even?

Break-even point is the month when MRR >= total burn (fixed + variable). Beyond that point, the startup no longer burns cash (excluding taxes and extraordinary CapEx). With €5,000 MRR, 10% growth, and €15,000 burn, break-even requires approximately 11 months of compound growth.