Break-even calculator

Find out how many units you need to sell — and how much revenue that means — before your business starts turning a profit.

Last updated: September 2026

Currency

Break-even point 0 units

Contribution margin per unit	Rs 0
Break-even revenue	Rs 0

This is the point where total revenue equals total costs — beyond this, each additional unit sold is profit.

Why break-even matters

Your break-even point tells you the minimum you need to sell before a business idea, product launch, or new pricing structure actually makes money. Below this number, you're operating at a loss regardless of how good the product is.

Lowering fixed costs or variable costs per unit brings your break-even point down, making the business viable faster.
Raising your price does the same, but only if demand holds at the higher price.
Use this before committing to a new product line, not after — it's a planning tool, not just a retrospective one.

Frequently asked questions

What counts as a fixed cost vs a variable cost?

Fixed costs stay the same regardless of how much you sell (rent, salaries, insurance). Variable costs scale with each unit sold (raw materials, packaging, per-unit shipping).

What if my contribution margin is negative?

If your variable cost per unit is higher than your selling price, you lose money on every sale regardless of volume — the pricing or cost structure needs to change before break-even is even possible.

Does this account for taxes?

No — this is a pre-tax break-even calculation based purely on revenue versus costs. Taxes would apply on top of any profit made beyond break-even.