Profit can look fine. Revenue can be growing...And the business can still be running OUT OF TIME.

Profit can look fine.

Revenue can be growing.

And the business can still be running out of time.

That is why cash runway matters.

Runway is not a vanity metric.

It is the countdown.

How many months can the business survive if the current cash pattern continues?

Simple formula:

Cash Runway = Cash in Bank / Monthly Net Cash Burn

But the key word is cash.

Not profit.

Not revenue.

Not GMV.

Actual cash in the bank.

Actual money coming in.

Actual money going out.

That difference matters in ecommerce because cash often leaves before it comes back.

Inventory is paid upfront.
Ads are paid before the sale.
Payouts arrive later.
Returns and bills still hit after that.

So a founder can say:

“We are profitable.”

And still be only 2 months away from a cash problem.

I would check runway every Monday:

bank balance

*expected payouts:

- bills due
- inventory commitments

If runway drops below 3 months, it is not time to “wait and see.”

It is time to act.

Profit tells you if the model works.

Cash runway tells you how long you have to fix the model before the bank account forces the decision.
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I'm asking a few shop owners to try it and tell me what's off. Want to give it 60 seconds? =>Details: okiela.io/audit. No pitch unless you ask.

or send me your export and I'll hand-check your 3 biggest profit leaks in 48h, free. No pitch, I just need to learn from real shops.