Break-Even & Profit Margin Calculator
How many sales does your business need to cover its costs — and to hit your profit target? Find out instantly.
The break-even formula
Break-even units equal your fixed monthly costs divided by the margin each sale contributes (price minus variable cost). If rent, wages and software cost £4,000 a month and each job nets you £75, you need 54 jobs just to stand still — everything after that is profit.
If the number looks uncomfortable, the levers are price, variable cost and fixed overhead. We help London businesses find the mix that actually pays.
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Frequently asked questions
Break-even units = fixed costs u00f7 (selling price u2212 variable cost per unit). The calculator also shows break-even revenue and your contribution margin.
Costs that stay the same regardless of sales u2014 rent, salaries, insurance, software. Variable costs rise with each sale, like materials, packaging and transaction fees.
Yes u2014 add a target and it shows exactly how many units and how much revenue you need to hit it.