Free ForeverNo SignupRaise SizingUpdated 2026

Funding Needs Calculator

Calculate the right fundraising target — enough to hit your next milestone, not so much that you over-dilute.

How much to raise = (Monthly Burn × Target Runway) − Cash on Hand + Buffer. The standard formula: raise 18–24 months of runway to give yourself enough time to hit milestones and run a non-distressed follow-on fundraise. Add a 20% buffer for unexpected costs.

Current Monthly Burn

Total monthly cash outflow (expenses minus revenue)

Monthly Burn Increase

Expected increase in burn per month as you hire and grow

Current Cash on Hand

Cash available in the bank today

Target Runway After Raise

How many months of runway do you want post-close?

The Formula

Raise Target = (Σ Monthly Burns over N months − Cash on Hand) × 1.2

In plain English

Multiply monthly burn by target runway months, subtract current cash, and add a 20% buffer.

Worked Example

18 months × $120K avg burn = $2.16M needed. Less $300K cash = $1.86M gap. × 1.2 buffer = $2.23M raise target.

How Much Should You Raise?

The standard advice: raise 18–24 months of runway. Less than 18 months and you're fundraising again before you've proven the next set of milestones. More than 36 months and the dilution usually isn't worth it — you're giving away equity you could sell at a higher valuation later.

Always build in a buffer. Raises take longer than expected. Revenue ramp takes longer than forecast. Burn grows faster than modelled. A 15–20% buffer above your base case model is the difference between a comfortable close and a distressed bridge.

18–24 mo

Standard post-raise runway target

20%

Recommended buffer above base case

4–6 mo

Typical Series A fundraising duration

2× avg

Burn by end of raise period vs. today

Funding Raise Targets by Stage (2026)

Stage	Typical Raise	Runway Target	Key Metrics
Pre-seed	$100K–$500K	12–18 months	Team + concept
Seed	$500K–$3M	18–24 months	$100K+ ARR or strong traction
Series A	$3M–$15M	24 months	$1M+ ARR, strong NRR
Series B	$15M–$50M	24 months	$5M+ ARR, clear path to $50M

Source: Crunchbase 2025 State of Private Markets · Bessemer Venture Cloud Financing Report

Common Mistakes

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Raising just enough to survive

Raising the minimum to cover current burn leaves no room for opportunity. Investors expect you to spend the money on growth — raise enough to take the aggressive path, not the conservative one.

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Not modelling burn growth

Your burn today isn't your burn in 12 months. If you're planning to hire 10 engineers, model the resulting burn increase. Fundraise for your future burn, not today's.

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Ignoring the raise timeline

A Series A takes 4–6 months from first meeting to cash in bank. You need to start fundraising when you have 18+ months of runway — not when you have 9.