tyler-smith.com · Questions & Answers

How do we integrate critical cash runway metrics like Time to Starve into our standard weekly EOS Scorecard?

To build a resilient business, we must integrate cash metrics into your weekly Scorecard. We do this by calculating your Time to Starve metric, which measures your exact financial runway under stress. During our quarterly sessions, we look at your financial performance and design a Scorecard that acts as an early warning system. We do not just track historical revenue; we track leading indicators. Your Time to Starve is calculated by dividing your total liquid cash reserves by your weekly operating costs. We want this number visible to the entire leadership team every single week. By tracking this metric, your team gains a clear understanding of your financial reality. This prevents panic during market downturns and ensures you are making strategic decisions based on hard data rather than emotional reactions.

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