Area Chart for Cash Runway — Startup Treasury Balance & Burn Projection
A cash runway area chart plots projected end-of-month treasury cash reserves ($Cash_t = Cash_{t-1} - NetBurn_t$) as a shaded volume above the zero-dollar insolvency line.
Tip: Paste Excel or Google Sheets rows (Ctrl+V / ⌘V) directly into any cell.
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Runway (Months) at constant burn = CurrentCash / MonthlyNetBurn. Minimum Cash Trough = min_t(Cash_t). Breakeven inflection occurs where Cash_{t} > Cash_{t-1}.
Chart Design & Use-Case Tips
- 01Runway (Months) at constant burn = CurrentCash / MonthlyNetBurn. Minimum Cash Trough = min_t(Cash_t). Breakeven inflection occurs where Cash_{t} > Cash_{t-1}.
- 02Notice the 'J-curve' minimum cash trough in Q2 '27 ($1,980K) where revenue growth overtakes operating expenses and the company turns cash-flow positive with nearly $2M of buffer still in the bank.
- 03Always keep the minimum projected cash trough at least 6 months of gross burn above $0.
- 04Pair with Waterfall Chart for Cash Flow to detail the exact drivers of a single quarter's cash movement.
Frequently Asked Questions
Why is an area chart ideal for cash runway modeling?+
Because the shaded volume between the cash line and the $0 floor visually represents your remaining liquidity cushion—if the shaded area touches the bottom axis, the company is out of cash.
What is 'Default Alive' on a cash runway chart?+
Coined by Paul Graham, a startup is 'Default Alive' if its cash balance curve flattens and turns upward (reaching profitability) well before touching $0.
Can I export this for a board meeting or fundraising deck?+
Yes, export as 300-DPI PNG or Vector SVG with one click.