Find out exactly how many units you need to sell before you start making profit.
Enter your fixed costs and per-unit numbers
Your break-even point is the exact number of units you need to sell so that total revenue equals total costs — no profit, no loss. Every unit sold beyond that point contributes directly to profit.
The contribution margin (price minus variable cost per unit) tells you how much each sale contributes toward covering your fixed costs. A low contribution margin means you need very high volume to break even, which is a useful early warning sign when evaluating a new product idea.
If your break-even point feels unrealistically high given your expected sales volume, that's a signal to either raise your price, reduce variable costs, or lower fixed overhead before launching.