Break-even Calculator Online - Business Profitability Analysis
Rent, salaries, insurance, etc.
Materials, packaging, shipping, etc.
Analysis
You need to sell units to start making a profit. Each unit sold contributes ₹100 towards covering your fixed costs.
About Break-even Calculator
Calculate your break-even point with our free online Break-even Calculator. Know exactly how many units you need to sell to cover all your costs and start making profit. Essential for startups, small businesses, product launches, and pricing strategy decisions. Understand your contribution margin and set realistic sales targets.
How to Use This Tool
Enter Fixed Costs
Input your total fixed costs including rent, salaries, insurance, utilities, and other expenses that don't change with production volume.
Enter Variable Cost per Unit
Input the cost to produce one unit including materials, packaging, shipping, and direct labor.
Enter Selling Price
Input the price at which you sell each unit to customers.
Analyze Results
See the number of units and total revenue needed to break even, plus your contribution margin per unit.
Frequently Asked Questions
What is the break-even point?
Break-even point is where your total revenue equals total costs. At this point, you're neither making profit nor loss. Every unit sold beyond this point generates profit.
How is break-even calculated?
Break-even Units = Fixed Costs ÷ (Selling Price - Variable Cost per Unit). The denominator is called 'Contribution Margin' - the amount each sale contributes to covering fixed costs.
What are fixed costs?
Fixed costs don't change with production volume: rent, salaries, insurance, depreciation, loan payments. You pay these whether you sell 1 unit or 1000 units.
What are variable costs?
Variable costs change with production volume: raw materials, packaging, shipping, direct labor, commissions. If you produce more, variable costs increase proportionally.
Key Features
- •Calculate Break-even Units & Revenue
- •Multi-Currency Support
- •Contribution Margin Analysis
- •Fixed vs Variable Cost Separation
- •Instant Real-time Calculation
- •Essential for Pricing Decisions
Why Break-even Calculator Matters
Our break-even calculator helps entrepreneurs, startups, and small business owners make informed pricing and production decisions. Know your minimum sales target, evaluate product viability, and plan for profitability. Essential for business plans, investor pitches, and strategic planning.