The short answer: To present burn and runway to your board, send one page each month with six items: cash on hand, trailing three-month net burn, runway in months, the zero-cash date, forecast-vs-actual variance, and the decisions you need. In the worked example below, $1,812,400 of cash and $124,933/mo of net burn produce 14.5 months of runway.
- Report net burn as a trailing three-month average, built from closed books.
- Show runway as a date as well as a number: the example reaches zero cash in mid-December 2027.
- Explain variance by driver. A $5,700 burn miss traced to $7,600 of late collections.
- Send the page monthly after the close; reserve the full model for quarterly sessions.
Last updated October 2026.
Boards do not want more cash data. They want a small set of numbers they can trust, in the same order, every month. A board that receives the same page for twelve months spots a trend in the third. A board that receives a new format each month spends its time decoding the layout.
This guide sets out the metrics boards expect, the format of a one-page cash report, how to present forecast variance, and how often the report should go out. Every figure comes from one illustrative B2B software company, with September 2026 as the close month.
What cash metrics do boards expect every month?
Boards expect six items: cash on hand, net burn, runway, the zero-cash date, variance to forecast, and the decisions required. Anything beyond those six belongs in an appendix.
- Cash on hand. The reconciled bank balance at month end, less obligations already due within 30 days.
- Net burn. Cash out minus cash in, averaged over the trailing three closed months.
- Runway. Cash on hand divided by net burn, stated in months.
- Zero-cash date. The calendar month in which the balance reaches zero at the current pace.
- Variance. Actual against the forecast the board saw last month, by driver.
- Asks. Any decision that changes the numbers: a hire, a raise, a spending cut.
The base formulas are in our guide to calculating burn rate and runway. The board page reuses them without change, so directors can recompute any figure on the page.
How do you calculate the figures for a board cash report?
Start from closed books, then average. Net burn for the board is the mean of the last three reconciled months, which removes single-month timing noise.
The example company closed July at $118,200 of net burn, August at $124,900, and September at $131,700. The trailing average is ($118,200 + $124,900 + $131,700) ÷ 3 = $124,933/mo. September cash on hand is $1,812,400, so runway is $1,812,400 ÷ $124,933 = 14.5 months.
The single-month figure would have told a different story. September alone gives $1,812,400 ÷ $131,700 = 13.8 months, while July alone gives 15.3 months. The board needs the 14.5-month figure and a note that burn rose in each of the three months. Common errors in this arithmetic are covered in burn rate mistakes that distort runway.
What is a zero-cash date and why report it?
A zero-cash date is the calendar month in which cash reaches zero at the current burn pace. It turns an abstract runway into a deadline that a board can place against a fundraising calendar.
For the example, 14.5 months from September 30, 2026 lands in mid-December 2027. A typical raise takes several months from first meeting to wire, so a board reading that date in October 2026 sees that the process must start in 2027 at the latest. Report the date in two cases: the base case and a downside case.
| Scenario (as of September 30, 2026) | Net burn | Runway | Zero-cash date |
|---|---|---|---|
| Base: trailing three-month average | $124,933/mo | 14.5 months | Mid-December 2027 |
| Downside: collections 10% lower ($9,000/mo less cash in) | $133,933/mo | 13.5 months | Mid-November 2027 |
| Hiring plan: two engineers at $18,400/mo combined, fully loaded | $143,333/mo | 12.6 months | Mid-October 2027 |
The $9,000/mo downside equals 10% of $90,000/mo in collections. The hiring case adds $18,400 to the base burn of $124,933. Three rows are enough: a fourth scenario usually signals that management has not chosen a plan.
How do you present burn and runway to your board on one page?
It has a fixed layout: headline metrics on top, a short trend table in the middle, variance by driver below that, and the asks at the bottom. A director should reach the asks within 60 seconds.
- Top band: cash, net burn, runway, and zero-cash date, each with last month’s value beside it.
- Trend table: the last three months of net burn, so direction is visible without a chart.
- Variance block: forecast, actual, and the dollar and percentage gap for each driver.
- Asks: one line each, with the cash effect in dollars per month.
Footnote every definition once. State that cash is net of 30-day obligations and that burn is the trailing three-month average. A board that reads the same footnotes monthly stops questioning the definitions and starts questioning the business, which is the purpose of the page.
How should you present forecast-vs-actual variance?
Present variance by driver, with the net result first. A board needs to know whether burn missed the forecast and what caused it, in that order.
September’s forecast net burn was $126,000. Actual net burn was $131,700, a miss of $5,700 or 4.5%. The table shows where the gap came from.
| September 2026 line | Forecast | Actual | Variance |
|---|---|---|---|
| Payroll and benefits | $148,500 | $149,200 | $700 over |
| Software and vendors | $41,300 | $39,600 | $1,700 under |
| Rent, insurance, travel | $32,200 | $31,300 | $900 under |
| Total cash out | $222,000 | $220,100 | $1,900 under |
| Collections | $96,000 | $88,400 | $7,600 short (7.9%) |
| Net burn | $126,000 | $131,700 | $5,700 over (4.5%) |
Spending came in $1,900 under forecast. Collections came in $7,600 short. Net, $7,600 − $1,900 = $5,700 of extra burn. The board reads one sentence: the miss was a collections timing issue, not a cost problem, and the late invoices are named in the appendix with their expected dates.
Run the same comparison against the forecast the board saw last month, not a restated one. Restating hides the miss. For deeper variance method, see variance analysis at month-end close and the measurement guide on cash forecast accuracy.
How do you make cash flow clear to a CEO and a board?
Lead with the decision, then show the number that drives it. A CEO and a board both want to know what changes if they act, so each figure should sit next to a choice.
Three habits keep the page readable:
- Use one definition of burn in every document, and footnote it.
- Put the bridge from last month’s runway to this month’s on the page: 15.3 months to 14.5 months, with the causes listed.
- Name the owner and date for every ask.
The framing mirrors the discipline of public-company reporting. Form 10-Q includes a dedicated Management’s Discussion and Analysis of Financial Condition and Results of Operations item, which asks management to explain its results in words, not only in statements. A board page does the same at one-page scale. Data inside it should tie to a 13-week cash flow forecast that the finance team updates weekly.
How often should the board see cash: monthly or quarterly?
Send the one-page report monthly and hold a deeper cash review quarterly. Monthly keeps directors current, and quarterly gives them time to challenge the plan.
| Cadence | Content | Timing | Reader time |
|---|---|---|---|
| Monthly | One-page report: six items, three-month trend, variance table | Business day 8–10, after the close | 5 minutes |
| Quarterly | Full forecast, scenarios, hiring and raise decisions | Board meeting, packet sent 5 days ahead | 30–45 minutes |
| Triggered | Short memo after a raise, a large prepayment, or a runway drop of 2+ months | Within 5 business days of the event | 2 minutes |
The monthly timing depends on a fast close. A company that closes in 5–7 business days can send the page by day 8–10; a company that closes in 20 days sends a stale number. Cash visibility at that speed is the product of a steady close process, which is why board prep and close speed are one problem. The outsourced CFO services engagement builds this report into the monthly packet.
How does the Continuous Close Method™ support the board page?
It keeps the books reconciled all month, so the board figures are ready on the day the close finishes. There is no scramble to explain a bank balance that does not tie to the ledger.
Debit & Co. applies the Continuous Close Method™ by reconciling bank accounts weekly, rolling prepaid schedules forward before each close, and logging collections against the forecast as they arrive. Kevin Cahill reviews the board cash page in every close packet before it ships.
Frequently asked questions
What cash metrics do boards expect every month?
Boards expect cash on hand, trailing three-month net burn, runway in months, the zero-cash date, forecast-vs-actual variance, and the decisions required. In the worked example, those six items fit on one page: $1,812,400 of cash, $124,933/mo of net burn, and 14.5 months of runway.
What is a zero-cash date and why report it?
A zero-cash date is the month in which cash reaches zero at the current burn pace. It converts runway into a deadline. In the example, 14.5 months from September 30, 2026 lands in mid-December 2027, which tells the board when a raise must close.
How should you present forecast-vs-actual variance?
Show the net burn miss first, then split it by driver. In September 2026, burn ran $5,700 (4.5%) over forecast because collections were $7,600 short while spending was $1,900 under. Compare against last month’s forecast, never a restated one.
What does a one-page cash report look like?
It has four blocks: headline metrics with last month’s values, a three-month burn trend, a variance table by driver, and a list of asks with dollar effects. Directors should reach the asks in about 60 seconds.
Monthly or quarterly: how often should the board see cash?
Monthly for the one-page report, sent on business day 8–10 after the close, and quarterly for the full forecast and scenarios. Add a short memo within 5 business days of any raise, large prepayment, or runway drop of 2 months or more.
Sources: U.S. Securities and Exchange Commission, Form 10-Q, Part I, Item 2. Worked example is illustrative.
