Break-even Calculator
Find how many units you need to sell to cover your fixed costs.
Assumptions used in this calculation
- Constant unit economics: Assumes selling price and variable cost per unit stay constant at every volume; it doesn't model bulk-purchase discounts, step-fixed costs, or price changes as volume scales.
About this calculator
Before launching a product or service, the natural question is how many units actually need to sell before the business stops losing money on it — and that number isn't obvious when fixed costs like rent and salaries pile up regardless of sales volume, while each unit sold also carries its own variable cost. This calculator takes fixed costs, the selling price per unit, and the variable cost per unit, and divides fixed costs by the contribution margin (price minus variable cost) to find exactly how many units must sell to cover every fixed expense, plus the revenue that represents. It replaces trial-and-error spreadsheet guessing with a direct answer, and makes it easy to see immediately how a price change, a cheaper supplier, or a rent increase shifts the break-even point, which is essential for setting realistic sales targets before committing to a product line.
Worked example
₹50,000 fixed costs, ₹500 price, ₹300 variable cost
Result: Break-even = 250 units
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