Break-Even Calculator for Ecommerce
Enter your monthly fixed costs, selling price and variable cost per unit to find how many units you must sell to break even. The chart shows where revenue overtakes your total costs.
Results
- Units to break even each month
- 120
- Revenue to break even
- $4,800
- Contribution per unit
- $25.00
- Contribution margin
- 62.5%
Frequently asked questions
How do you calculate break-even units?
Divide your fixed costs by the contribution per unit, which is the selling price minus the variable cost per unit. Round up to a whole unit.
What is a break-even point?
It is the sales volume where revenue equals total costs, so you make neither profit nor loss. Every unit sold after that adds its contribution as profit.
What counts as a fixed cost for an online store?
Costs that stay the same however many orders you take, such as your Shopify plan, apps, software subscriptions, salaries and rent. Costs that rise with each order, like product, shipping and card fees, are variable.
How can I lower my break-even point?
Raise your price, cut the variable cost per unit, or reduce fixed costs. Each one either widens the contribution per unit or shrinks what that contribution has to cover.
Related tools
Sources and assumptions
One product, constant price and unit cost.
Estimates for planning, not financial advice. Check current rates with your provider.