Break-even Calculator
Find how many units you must sell to cover all your costs and start making a profit.
Educational Purpose Only: This calculator provides estimates for informational purposes. Results are not professional financial advice.
How it works
The break-even point is the number of units you need to sell so that total revenue equals total costs — meaning zero profit and zero loss. Each unit sold above break-even contributes pure profit. The contribution margin per unit is the selling price minus the variable cost; it represents how much each sale contributes toward covering fixed costs and then generating profit.
Fixed costs vs variable costs
Fixed Costs
Costs that remain constant regardless of production volume, such as rent, salaries, insurance, and equipment depreciation.
Variable Costs
Costs that change directly with the number of units produced, such as raw materials, packaging, direct labour, and shipping per unit.
This calculator is for educational and illustrative purposes only. Business financials involve many variables not captured here. Consult an accountant or financial advisor for detailed business analysis.