Business Toolbox ProEleven calculators for running a small business

Break-even Calculator

How many units must you sell before you start making a profit?

About this calculator

Find how many units you must sell, and how much revenue you need, before your business stops losing money.

Formula

Break-even units = Fixed costs ÷ (Price per unit − Variable cost per unit).

Example

With fixed costs of 5,000, a price of 25 and a variable cost of 10, each sale contributes 15, so you need 334 units (5,000 ÷ 15 = 333.3, rounded up).

Common questions

What counts as a fixed cost?

Costs that do not change with sales volume, such as rent, salaries, insurance and software subscriptions.

What if my break-even number is too high?

Raise the price, lower variable costs or cut fixed costs. Test each change in the calculator to see which helps most.

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