Business Pitch Dictionary by pitch.dog
Startup traction, burn & capital efficiency · Core

Runway extension

Also called: extend runway

ELI5

Add more months before cash runs out.

Used in conversation

“The restructuring creates a six-month runway extension.”

Definition

An increase in expected survival time achieved through new capital, revenue improvement or cost reduction.

Here “Runway extension” means: An increase in expected survival time achieved through new capital, revenue improvement or cost reduction.

Pitch context

You will see “Runway extension” in fundraising decks, data rooms, term sheets and investor conversations when the discussion reaches startup traction, burn & capital efficiency.

Why it matters: It helps a reader interpret startup traction, burn & capital efficiency without confusing the measure, decision, role or evidence being discussed.

Sources & evidence · 5

Supporting source families. This entry is an editorial synthesis rather than a quotation from one canonical glossary.