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Startup & SaaS

Burn Multiple Calculator

One ratio that captures growth efficiency without depending on cohort definitions — popular with investors for exactly that reason.

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Burn multiple
1.25×

Below 1x is exceptional, 1–1.5x is strong, 1.5–2x acceptable at early stage, above 3x signals a growth model that isn't working.

How it works

  1. 1Enter net burn and net new ARR for the same period
  2. 2See the burn multiple and how it benchmarks

Who this is for

  • Investor update metrics
  • Comparing capital efficiency across quarters
  • Board discussion on spend discipline