📊 Break Even Calculator

Calculate when your business starts making profit

Cost and Pricing Information
Example: Rent, salaries, insurance
Example: Product cost, raw materials
💡 What is Break-Even Point?

Break-even point is where total revenue equals total costs - no profit, no loss. After this point, the business starts making profit.

Key Terms:
  • Fixed Costs: Costs that don't change with production volume (rent, salaries)
  • Variable Costs: Costs that change with production volume (raw materials, packaging)
  • Contribution Margin: Difference between selling price and variable cost per unit
Tips:
  • Calculate break-even before starting any business
  • Review costs and prices regularly
  • Try to minimize fixed costs initially
  • Increasing contribution margin reduces break-even point