Calculator
Business Break-Even Calculator
Find the exact unit and revenue point where your business turns profitable — plus what you need to hit a specific profit target.
1. Your inputs
Results update instantly. Everything runs in your browser.
2. Your results
Break-even point
151 units
Or $12,835 in monthly revenue
Contribution margin
$53.00
CM %
62.4%
Break-even units
151
Break-even revenue
$12,835
Units for target profit
151
Revenue for target profit
$12,835
Revenue vs total cost
Per-unit economics
$85
Price
- Variable cost38%
$32
- Contribution62%
$53
What does this mean?
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In plain English
At $85.00 price with $32.00 variable cost per unit, your contribution margin is $53.00 (62.4%).
You'll break even at 151 units/month, or about $12,835 in monthly revenue.
To hit $0 in monthly profit, you'd need to sell 151 units — that's $12,835 in revenue.
Assumptions used
The math relies on these assumptions. Real-world numbers can vary.
- Sales price is stable across all units.
- Variable cost per unit is stable across all units (no bulk discounts modeled).
- Fixed costs stay constant regardless of volume.
- No seasonality applied.
- No taxes or financing costs included.
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Frequently asked
What is the break-even point?
The number of units (or revenue amount) where total revenue exactly covers total costs. Every sale beyond that is contribution to profit.
What's contribution margin?
Price per unit minus variable cost per unit. It's the amount of every sale that goes to covering fixed costs (and then profit).
How do I estimate variable cost?
For products: cost of goods sold per unit + shipping + payment processing + any per-unit fees. For services: hourly labor, tools/software divided per project.
Are salary owners fixed or variable?
Fixed. Anything you'd pay regardless of sales volume counts as fixed cost.
How do I lower my break-even?
Three levers: cut fixed costs, raise price, or lower variable cost per unit. Prioritize whichever moves fastest with the least customer impact.
About the Business Break-Even Calculator
Break-even analysis is the fastest sanity-check you can run on any business idea. It answers the most important question up front: how many things do I need to sell before I stop losing money every month?
The math is deceptively simple: fixed costs divided by contribution margin per unit. But the insight is huge — it forces you to know your unit economics cold before you scale up.
Once you know break-even, the operational questions become clear: how do I lower fixed costs, raise price, or cut variable cost — because those are the three levers that shrink the number.
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These calculators are for education only and are not a substitute for personalized advice from a licensed professional. Read our full disclaimer.