Review your prices
A small price rise has a direct effect on every sale.
Free tool, no sign-up
When do you start making money?
Enter your fixed costs, your average price and your cost per sale. Break-even point, sales needed and break-even date update in real time.
- Real-time calculation
- Break-even date in days
- Free, no sign-up
No data storedFormulas explainedWorked example
Your break-even in real time
Change a value: everything recalculates.
Three formulas worth knowing
Contribution margin = selling price − variable cost
Break-even point = fixed costs ÷ contribution margin ratio
Break-even date in days = break-even point ÷ annual revenue × 365
A business with €36,000 in fixed costs
Each sale brings in €80 excl. VAT and costs €30: that leaves €50 to cover fixed costs, a contribution margin ratio of 62.5%.
The break-even point is 36,000 ÷ 0.625 = €57,600 in revenue, or 720 sales. With 1,000 sales expected, it is reached on day 263 of the year, and the expected profit is €14,000.
Three ways to break even sooner
Lower the cost per sale
Negotiate purchases, group deliveries, choose the right payment method.
Reduce fixed costs
Automating repetitive tasks costs less than hiring.
Your questions about profitability
What is the break-even point?
It is the revenue at which you stop losing money: all your costs, fixed and variable, are covered. Beyond that, every extra sale generates profit.
What is the difference between the break-even point and the break-even date?
The break-even point is an amount in euros. The break-even date is a date, or a number of days in the year: the moment that amount is reached, if sales are steady.
What counts as fixed costs?
Everything you pay even when you sell nothing: rent, insurance, subscriptions, salaries, loans, and your own pay if you want to know when you are really paying yourself.
How can I lower my break-even point?
Three levers: cut fixed costs, raise your selling price, or reduce the variable cost per sale. A 10% price rise often lowers the break-even point more than a 10% saving on purchases.
Does the calculation work for a service business?
Yes. The average price is the price of one job, and the variable cost is what you only pay if the job goes ahead: subcontracting, travel, materials used.
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