Break-Even Sales Calculator
Founders and sales leads use break-even units to sanity-check whether a price list can realistically cover rent, salaries, and ads. This version uses one product line with a constant contribution margin per unit.
Numbers stay in your browser; use it for internal planning, not as audited financial reporting.
Break-even units
Single product, constant per-unit margin.
How this is calculated
Contribution margin per unit is price minus variable cost (materials, fulfillment, payment fees per unit—whatever scales with each sale).
Break-even units = fixed costs ÷ contribution margin. If margin is zero or negative, more sales never rescue the model—you need higher price or lower cost.
Use this tool for
- Testing whether a promotional price still clears fixed overhead.
- Setting a minimum monthly unit target for a new SKU.
- Building a simple slide for investors on path to covering cash burn.
Common questions
Should fixed costs be monthly or annual?
This form labels fixed costs as monthly so the break-even unit count matches a monthly overhead story. Multiply or divide if you work in annual figures.
Why ignore taxes and discounts?
This is a simplified contribution-margin model. Fold expected discounts into net price, and talk to an accountant before using the output for tax or covenant reporting.