Break-Even Calculator
Units and revenue needed before profit begins.
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About this calculator
Break-even analysis answers the first question of any business: how much must we sell before profits start? Contribution margin — what each sale adds after variable costs — pays down fixed costs until they're covered.
A BEP that feels unreachable signals pricing or cost-structure problems early, when they're cheapest to fix.
Formula
BEP units = Fixed costs ÷ (Price − Variable cost per unit)
Frequently Asked Questions
What counts as a fixed cost?
Costs unchanged by volume within your range: rent, salaries, insurance, software subscriptions. Electricity partially scales with production and is partly variable.
My BEP is too high — options?
Raise price (check elasticity), cut variable cost via suppliers/scale, reduce fixed overheads, or improve product mix toward higher-margin items.