Owner runway · Formula v2.0.0

Can the practice and the household survive the first 48 months?

Roll practice cash and household cash forward separately. The reserve gate exposes when a plausible collections ramp still requires more capital, lower fixed commitments, a different draw, or a different opening plan.

Open the runway model Price a delay

Use this ifYou are planning a startup, acquisition, expansion, or difficult transition and need to know when liquidity—not accounting profit—fails.

DecisionProceed, add capital, reduce commitments, change the draw, delay, renegotiate, or walk.

Evidence neededClosing cash, lender reserve, debt schedule, fixed-cost budget, payer timing, realistic collections ramp, household spend, outside income, and timed capital events.

Work productA 48-month practice and household cash path, first reserve breaches, capital required to preserve each minimum, and a saveable DenQAI project file.

Method, stop-and-verify condition, and required review

Method: Roll cash monthly. Collections are lagged and reduced by collection probability; practice and household cash remain separate.

Stop and verify: If either minimum reserve is breached, do not let a positive year-four ending balance hide the earlier liquidity failure.

Human review: Dentist and household, dental CPA, lender, attorney where funds may be transferred, and an experienced startup or acquisition operator.

Last reviewed: July 24, 2026

The export is a local file; DenQAI does not create an account or upload these values.

Opening reserves

Starting practice cash$Minimum practice reserve$Starting household cash$Minimum household reserve$

Collections ramp

Month-one gross production scenario$Mature monthly gross production scenario$Months to mature run ratemonthsCollected share%Average service-to-cash lagdaysUse observed payer and patient timing, not only clean-claim rules.Variable cost of collections%

Monthly commitments

Practice fixed cost$Debt service$Owner draw to household$Other household income$Household essential spend$

Timed capital events

Event 1 monthmonthEvent 1 cash cost$Event label

Event 2 monthmonthEvent 2 cash cost$Event label

Reserve gateThe modeled plan breaches at least one minimum reserve

Practice: first breach in month 2 · Household: first breach in month 9

Additional practice capital required$240,543

Additional household capital required$178,500

Lowest practice cash-$165,543

Lowest household cash-$133,500

48-month collections received$3,961,529

48-month funded owner draws$264,000

Unfunded planned draws$264,000

End of year 1

Practice cash: -$156,620
Household cash: $9,000
Monthly collections: $63,029

End of year 2

Practice cash: -$79,591
Household cash: -$105,000
Monthly collections: $98,455

End of year 3

Practice cash: $109,250
Household cash: -$120,000
Monthly collections: $101,850

End of year 4

Practice cash: $265,454
Household cash: -$102,000
Monthly collections: $101,850

Controlling monthly roll-forward · v2.0.0practice cash += lagged collectible cash − variable cost − fixed cost − debt service − funded owner draw − timed capital events

Household cash receives only the owner draw the modeled practice can fund without taking its cash below zero. Any shortfall is shown as an unfunded planned draw. The tool still reports the capital required to preserve each stated minimum, not merely the cash needed to avoid a negative ending balance.