Educational templates & calculators โ€” not financial advice. These tools give you structure and numbers to fill in yourself; they don't write your plan. Verify projections with a qualified accountant or advisor.

Break-Even Calculator

The break-even point is where revenue finally covers costs โ€” the single most important number to know before you launch or price something. Enter your numbers to find it.

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Rent, salaries, software โ€” costs that don't change with volume

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What you charge for one unit/sale

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Cost to produce/deliver one unit

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Leave at 0 for plain break-even

Break-even point

334unitsโ‰ˆ $16,700 in revenue
Contribution / unit
$30
Contribution margin
60.0%

break-even units = fixed costs รท (price โˆ’ variable cost)

Each unit contributes $30 toward fixed costs; once 334 are sold, you've covered them and begin to profit.

A simplified model โ€” it assumes one price and constant per-unit cost, and excludes taxes, financing, and step costs. Educational, not financial advice.

How break-even works

  • Contribution margin = price โˆ’ variable cost. It's what each sale contributes toward fixed costs.
  • Break-even units = fixed costs รท contribution margin. Below this you lose money; above it you profit.
  • Break-even revenue = those units ร— price.
  • If price doesn't exceed variable cost, there's no contribution and no break-even โ€” you'd lose money on every sale.

Educational, not financial advice. This single-product model ignores taxes, financing, and costs that change in steps. Validate your numbers with an accountant. See our full disclaimer.

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