Free tool for businesses & stores
Break-even Calculator for Businesses & Stores
How many units do you need to sell each month before you start making a profit? Enter your fixed costs, selling price and variable cost per unit to see your break-even point in units and revenue — and the sales needed for the profit you want.
- Units & revenue
- Contribution margin
- Target profit & safety margin
Result
Enter fixed costs, selling price and variable cost.
Developed by Ahmed Elshamy All free tools
How it works
Three simple steps
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Enter fixed costs
What you pay monthly regardless of sales: salaries, rent, subscriptions.
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Enter price and variable cost
Unit selling price before VAT, and what each unit costs: product, shipping, fees and ads.
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Read your break-even point
Add a target profit or expected sales to see where you stand.
What is the break-even point?
The break-even point is the sales volume at which revenue covers all your costs — no profit, no loss. Each unit you sell leaves a “contribution margin” (price minus variable cost); those margins first cover fixed costs, and only then does profit begin.
Knowing this number makes monthly targets clear and helps you judge any decision: raising prices, cutting costs, hiring, or moving to a bigger space.
FAQ
Good to know
How is the break-even point calculated?
Break-even units = fixed costs ÷ (selling price − variable cost per unit). Break-even revenue = units × price, or fixed costs ÷ contribution margin ratio.
What’s the difference between fixed and variable costs?
Fixed costs don’t change with sales volume in the period (rent, salaries, subscriptions). Variable costs rise with every unit sold (product cost, shipping, commission, payment fees, ad cost per order).
Should I enter the price including VAT?
No. Enter the selling price before VAT, because VAT isn’t your income.
What if I sell many products at different prices?
Use your average order value and average variable cost per order; the result becomes the number of orders needed to break even.