What to Do When Your Runway Is Under 3 Months

Confirming the Situation

Step 1: Open the /intelligence page and confirm the Cash Runway card shows an orange Warning badge (1-3 months). Step 2: Click the card to open the runway drill-down panel. Step 3: Verify the formula inputs — confirm the Cash Balance figure is accurate and the Daily Burn figure matches your actual cost configuration. If these are stale, update them in the Cost Config Drawer before proceeding. Step 4: Note the exact months figure — 2.8 months requires faster action than 2.2 months but both need immediate attention. Step 5: Check the 4-Scenario Table and note the Pessimistic scenario. If Pessimistic is under 1.5 months, treat this as a near-Critical situation.

Track 1 — Immediate Cost Reduction

Step 1: Click the Daily Net Gain/Burn card to open the Burn Rate drill-down panel. Step 2: Open the Sensitivity Table and identify the top two cost categories by burn impact. Step 3: For each high-impact category, ask whether a 10 to 20 percent reduction is achievable within 2 weeks. Possible quick wins include pausing non-essential SaaS subscriptions (Software/SaaS category), reducing Marketing and Ads spend, deferring non-critical travel, and renegotiating supplier terms for Supplies or Professional Services. Step 4: Make the reductions in the Cost Config Drawer and confirm the runway card improves. Step 5: If the runway does not improve meaningfully, move to Track 3 immediately.

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Track 2 — Revenue Acceleration

With under 3 months of runway, waiting for organic revenue growth is rarely sufficient. Revenue acceleration means taking actions that produce cash within the current runway window. Consider offering annual prepayment discounts to existing customers, accelerating collection of outstanding invoices, launching a promotional campaign for your highest-margin product or service, or reaching out to warm prospects who have been in consideration. Step 1: Identify your fastest revenue channel from the Channel Breakdown in the Burn Rate panel. Step 2: Set a specific weekly revenue target that, if hit, would move your net burn figure closer to zero. Step 3: Track progress by monitoring the Daily Net Gain/Burn card daily.

Track 3 — Capital Raising

If cost cuts and revenue acceleration alone cannot extend runway beyond 6 months within a reasonable timeframe, begin capital conversations immediately. With under 3 months of runway, you have less negotiating leverage but more time than you would at Critical status. Step 1: Use the Runway Scenario Table to prepare your fundraising data — show investors the Base, Optimistic, and Break-Even scenarios to demonstrate you understand your position. Step 2: Export or screenshot the 12-Month Projection Chart to visualise the funding need. Step 3: Prepare two versions of your ask: a minimum bridge amount (enough to reach 6 months) and a full raise amount (enough to reach 12 to 18 months).

Monitoring Progress Weekly

Step 1: Set a calendar reminder to check the /intelligence page every Monday. Step 2: Note whether the Cash Runway card has moved up or down. Step 3: If it has improved by 0.2 months or more in a week, your actions are working — continue. Step 4: If it has stayed flat or declined, review what changed in the Burn Rate panel. Step 5: Update the Target Calculator in the runway panel with a goal of reaching 6 months (Healthy status) within a specific number of weeks. This gives you a clear milestone to track toward and makes the urgency concrete for your team.