Business cash-runway worksheet
A hypothetical straight-line model, not a Singapore benchmark or revenue forecast. Test more than one revenue and margin assumption.
Worked scenario ready — no revenue outcome is predicted.
Excludes GST, income tax, invoice timing, loan interest, capital expenditure, foreign-worker levies and grants not yet received. CPF is indicative for full-rate citizens/third-year PRs above S$750 and uses OW only.
A useful way through this page
- Choose a structure for liability and administration, not just its filing fee.
- Model launch cash, payroll and fixed costs before assuming sales.
- Stress revenue, margin and collection delays; unapproved grants count as zero.
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Choose a legal and financial structure, not just the cheapest fee
| Structure | Current ACRA transaction fees | Liability and continuity | Recurring ACRA item |
|---|---|---|---|
| Sole proprietorship | S$15 name + S$100 one-year registration | Owner and business are not separate legal persons; owner has unlimited liability | S$30 one-year renewal |
| Limited liability partnership | S$15 name + S$100 registration | Separate legal person with partner flexibility | S$30 annual declaration |
| Private limited company | S$15 name + S$300 registration | Separate legal person; shares and directors create formal governance | S$60 annual return |
A company is not “renewed” yearly. It files an annual return and remains subject to statutory obligations. Structure also affects tax, responsibility for debts, succession, banking, investors and administration. A S$200 difference in formation fees is rarely the decisive lifetime cost.
Build the opening budget before registering
List government fees, licences, professional setup, deposits, equipment, initial stock, insurance, software, signage and pre-opening payroll separately. Deposits may be recoverable later but still consume launch cash today. Grants should enter the cash plan only after approval and on the payment timing actually stated.
| Budget layer | Examples | Cash treatment |
|---|---|---|
| Registration | Name and entity filing | Immediate government fee |
| Permission | Sector licence, tenancy approval, permits | Include application and compliance costs |
| Launch assets | Equipment, fit-out, opening stock | Cash outflow even if accounted as an asset |
| Working capital | Payroll, rent, supplier and tax timing | Reserve until customer cash arrives |
| Contingency | Delay, repairs, slower sales | Do not count it twice as runway |
The salary is not the full employer cost
For an eligible citizen or third-year PR aged 55 or below, employer CPF is 17% of CPF-applicable wages, with the 2026 Ordinary Wage ceiling at S$8,000 a month. The employee’s CPF deduction does not reduce the employer’s gross payroll expense; it is withheld and remitted.
SDL applies to employees, generally 0.25% of monthly total wages, with a S$2 minimum and S$11.25 maximum per employee. The calculator applies that range and floors the aggregate to the dollar. It does not model Foreign Worker Levy, first- or second-year PR rates, Additional Wages or every payroll rounding rule.
| Local employee age band | Employer CPF rate from Jan 2026 | OW ceiling used |
|---|---|---|
| 55 and below | 17% | S$8,000/month |
| Above 55–60 | 16% | S$8,000/month |
| Above 60–65 | 12.5% | S$8,000/month |
| Above 65–70 | 9% | S$8,000/month |
| Above 70 | 7.5% | S$8,000/month |
Runway is only as honest as the sales assumption
Gross contribution equals revenue multiplied by gross margin. Fixed cash cost includes entered premises, founder pay, wages, employer CPF, SDL and other fixed costs. Break-even revenue is fixed cost divided by gross margin. When contribution is below fixed cost, runway is usable post-launch cash divided by monthly burn.
The default business generates S$14,300 contribution but spends S$19,380 fixed each month, burning S$5,080. After S$315 government fee and S$15,000 launch spend, S$64,685 remains, or about 12.7 straight-line months. Change revenue to a downside case and add a delay before first collections; many failures are timing failures before they are accounting losses.
How gross margin changes the arithmetic break-even
| Gross margin assumption | Monthly revenue needed against S$19,380 fixed cost |
|---|---|
| 40% | S$48,450 |
| 50% | S$38,760 |
| 65% | S$29,815 |
| 75% | S$25,840 |
This sensitivity holds fixed cost constant and changes only the margin. It demonstrates the formula; it does not predict sales or recommend a business model.
Put compliance dates into the cash calendar
| When | Common obligation |
|---|---|
| Immediately after registration | Corppass after UEN, licences and proper records |
| Within 3 months | Appoint auditor unless exempt |
| Within 6 months | Appoint company secretary |
| Monthly | Salary generally within 7 days; CPF due month-end, enforcement after 14th of next month |
| Within 3 months after FYE | File ECI unless revenue is at most S$5m and ECI is nil |
| Within 6 months after FYE | Hold AGM if required; exemptions and dispensation may apply |
| Within 7 months after FYE | Non-listed company annual return, normally S$60 |
| By 30 November | Corporate income-tax return for the relevant YA |
| At least 5 years | Retain tax and business records |
For GST thresholds and corporate tax, use the central tax guide. The business calculator deliberately does not fold those case-specific computations into cash runway.
Grants help a project; they do not rescue an underfunded launch
| Scheme | Published support checked 3 Sep 2026 | Planning rule |
|---|---|---|
| Productivity Solutions Grant | Up to 50% of eligible costs, capped at S$30,000 for pre-approved solutions | Do not count until approved and paid |
| Enterprise Development Grant | Up to 50% for eligible local SMEs on tailored capability, innovation or market projects | Check eligibility before signing or paying |
| Market Readiness Assistance | Up to 70% from 1 Apr 2026, S$100,000 per company per new market with pillar sub-caps | Model timing and retrospective-application rules |
Enterprise Singapore’s Budget 2026 page describes the Enterprise Growth Development Ecosystem as a new unified scheme, but on 3 September 2026 it still directed businesses to the existing PSG, EDG and MRA application routes “in the meantime”. Recheck the official route before applying.
What changed recently
| Date | Change relevant to this guide |
|---|---|
| 9 June 2025 | Corporate Service Providers Act took effect |
| 1 January 2026 | CPF OW ceiling rose to S$8,000 and 2026 age-band rates applied |
| 1 April 2026 | MRA support rose to as much as 70%; InvoiceNow expanded to all new voluntary GST registrants |
| Budget 2026 | EDGE was announced as a future unified route; the Enterprise Singapore page still pointed applicants to PSG, EDG and MRA when checked 3 September 2026 |
Methodology and limitations
The model deducts government fee and launch spend immediately, multiplies revenue by gross margin, then subtracts entered fixed cash costs, wages, indicative employer CPF and SDL. It excludes sales forecasting, invoice timing, tax, GST, Additional Wage CPF, levies, debt, capex and unreceived grants.
Use at least three cases: base, lower revenue or margin, and delayed receipts. The calculation stays in the browser and stores nothing. It is general information, not legal, tax, investment, immigration or accounting advice.
Primary sources
- ACRA — Choosing a business structure
- ACRA — Sole proprietorship and partnership fees
- ACRA — LLP transaction fees
- ACRA — Registering a local company via Bizfile
- ACRA — What a local company must do after registration
- ACRA — Company annual-return deadlines
- ACRA — Corporate Service Providers Act effective 9 June 2025
- CPF Board — Employer contribution rates
- CPF Board — Skills Development Levy
- MOM — Paying salary
- IRAS — Estimated Chargeable Income filing
- IRAS — Business record keeping
- IMDA — 2026 GST InvoiceNow expansion
- Enterprise Singapore — Budget 2026 and EDGE status
- Enterprise Singapore — Productivity Solutions Grant
- Enterprise Singapore — Enterprise Development Grant
- Enterprise Singapore — Market Readiness Assistance
Last fact-checked: 3 September 2026. Rules, fees and official pages can change; check the linked source before acting.