Should I use bank balance or working capital?

Start with cash you can actually spend without breaching covenants; definitions vary by board.

Profit versus cash burn?

Burn here should be net cash outflows, not accrual profit. Loan principal repayments belong in burn if they leave the account.

Published by Clinic Admin Tools UK · Independent practice-admin content · Not clinical advice

Divide cash on hand by average monthly cash burn to approximate runway in months.

Runway answers how long the clinic could operate if no new cash arrived. Use liquid cash and a realistic average monthly net outflow.

Seasonal clinics should average burn across a full cycle; this simplification ignores timing of VAT or loan payments.

Adjust the fields below; results update as you type. All processing happens in your browser—we do not receive the numbers you enter.

Cash available

(£)

Average monthly net cash outflow

(£)

Approximate runway —

Runway divides liquid cash by average monthly net burn. Seasonal clinics should average burn across a full cycle.

It ignores undrawn facilities and timing of tax payments—extend the model offline for precision.

Should I use bank balance or working capital?: Start with cash you can actually spend without breaching covenants; definitions vary by board.
Profit versus cash burn?: Burn here should be net cash outflows, not accrual profit. Loan principal repayments belong in burn if they leave the account.

Other calculators visitors often use alongside this one: