The Runway KPI refers to the amount of time (usually in months) your business can continue to operate before cash runs out.
-Runway is a calculated KPI based on Cash On Hand and Net Cash Burn
-Can fluctuate from period to period depending on business model (e.g. due to one time income and other special effects)
-Every business needs to understand their runway to make sure to either raise additional capital, increase revenue or decrease costs
A company has 1000 € available and loses 100 € per month. The estimated Runway of this company is 10 months.
Negations / Exclusions