Break-even Calculator
Break-even is the point at which total revenue equals total costs - the volume you need to sell to stop losing money. It answers 'how many units must I sell each month before I make a penny of profit?'
Break-even is the point at which total revenue equals total costs - the volume you need to sell to stop losing money. It answers 'how many units must I sell each month before I make a penny of profit?'
Contribution Margin = Price − Variable Cost per Unit Break-even Units = Fixed Costs ÷ Contribution Margin Break-even Revenue = Break-even Units × Price
- Break-even is the sanity check every ecommerce founder should redo whenever costs, pricing or ad rates change.
- It exposes whether a growth plan is realistic - 'sell 2,000 units a month' is very different from 'sell 20,000'.
- Break-even reveals dangerous SKUs: if a product's contribution margin is negative, selling more makes losses worse.
- Raise price if the market allows - even small increases move break-even sharply.
- Reduce variable cost per unit: better fulfilment rates, cheaper packaging, negotiated payment fees.
- Cut fixed costs by consolidating apps and rationalising staff/agency retainers.
- Improve mix - sell more high-contribution SKUs, deprioritise loss leaders.
- Bundle products to lift AOV without proportionally raising variable cost.
Break-even Calculator - questions founders ask
The break-even point is the number of units - or the revenue level - at which your total revenue covers total costs and profit is exactly zero. Below it you lose money; above it every additional unit contributes profit at the contribution-margin rate.
Want the operator team behind these numbers?
BeingEcom runs Pricing, Scope & Engagement Models for UK Shopify and WooCommerce brands. Book a free strategy call and we'll model the same numbers against your real store.