Break-Even Point Calculator

A break-even calculator that finds how many units you must sell before total revenue covers total costs — break-even units, break-even revenue and contribution margin ratio in one go.

The break-even point is where total revenue equals total cost — sell fewer units and you lose money, sell more and every additional unit contributes pure profit toward your fixed costs and beyond. Knowing this number changes how you price, how much you dare spend on rent and salaries, and whether a product idea is viable at all.

The mechanics: every unit you sell contributes its price minus its variable cost (materials, packaging, shipping, transaction fees) toward covering fixed costs (rent, salaries, software, insurance — costs that don't change with volume). Break-even units = fixed costs ÷ contribution per unit. If your studio's fixed costs are ₹2,00,000 a month and each unit sells for ₹500 with ₹300 of variable cost, you need 1,000 units a month just to stand still — the 1,001st unit is where profit begins.

Use the calculator to stress-test decisions before making them: What if I raise the price by ₹50? What if a supplier increase pushes variable cost up 10%? What does hiring one more person (higher fixed costs) do to my required volume? The contribution-margin ratio shown alongside tells you what share of every rupee of sales is available to cover fixed costs — a quick health indicator to compare products against each other. If your variable cost is at or above your price, no volume will ever save you; the calculator will tell you that too.