Break-Even Analysis Calculator
Find the precise sales volume where your business stops losing money and starts making a profit. Enter your costs and price to see your break-even point, contribution margin and margin of safety.
Break-even analysis calculator
Set your fixed costs, unit price and variable cost to find the exact sales volume where your business covers its costs and starts making a profit.
Rent, salaries, insurance — costs that don't change with production.
Materials, commissions, direct labour — costs that scale with output.
- Covers costs100%
- Margin of safety0%
Break-even units
1,000
units to sell before you profit
Break-even revenue
₹5,00,000
sales needed to cover all costs
Contribution margin / unit
₹200
40.0% of price
Profit / loss at target
₹0
0.0% margin of safety
Funding the gap to break-even? Compare working-capital offers.
Know your break-even before you commit
Whether you're launching a product, pricing a service or planning a capital purchase, the break-even point tells you how much you must sell to make it worthwhile. It turns gut feel into a clear, defensible number — useful for pricing, planning and any loan or investor conversation.
From costs to your break-even point
Three inputs reveal the sales target every business owner needs to know.
Enter your fixed costs
Add up the costs that stay the same regardless of how much you sell — rent, salaries, insurance and subscriptions.
Set price and variable cost
Enter what you charge per unit and what each unit costs to make. The gap between them is your contribution margin.
Find your break-even point
We divide fixed costs by the contribution margin to show the units and revenue you need before every extra sale is profit.
Break-even questions, answered
A break-even analysis tells you the level of sales at which your total revenue exactly covers your total costs — so you make neither a profit nor a loss. Selling beyond that point generates profit; selling below it means a loss.
Break-even units = fixed costs ÷ contribution margin per unit, where contribution margin per unit = selling price − variable cost per unit. Break-even revenue = fixed costs ÷ contribution margin ratio (the margin expressed as a fraction of price).
Contribution margin is the amount each unit contributes toward covering fixed costs after its own variable cost is paid. If a product sells for ₹500 and costs ₹300 to make, the contribution margin is ₹200 per unit, or 40% of the price.
The margin of safety is the difference between your target (or actual) revenue and your break-even revenue. It shows how far sales can fall before you start making a loss. A larger margin of safety means a more resilient business.
If each unit costs as much or more to produce than you sell it for, the contribution margin is zero or negative — every sale loses money, so there is no break-even point. In that case you need to raise prices or cut variable costs before the analysis applies.
Capital to reach profitability faster
Bridging the gap between launch and break-even often needs working capital. Compare business loan offers from 70+ banks and NBFCs — one application, no impact on your credit score to check.