Pricing and Profit

Break-Even Calculator

Estimate the order volume and revenue required to cover fixed costs after per-order costs and fees are removed.

Fee per order$5.50
Contribution per order$31.50
Contribution margin48.46%
Break-even units79.37
Revenue to break even$5,158.73
Units for target profit126.98
Revenue for target profit$8,253.97

What this calculator does

Use this calculator when you need to know how many sales it takes to cover fixed costs. It models variable cost, percentage fees, and a fixed fee per order before showing the break-even point.

Formula used

Contribution per order = sale price - variable cost - percentage fee amount - fixed fee per order. Break-even units = fixed costs / contribution per order. Target-profit units = (fixed costs + target profit) / contribution per order.

Worked examples

  • A product priced at $65 can still need dozens or hundreds of orders to break even once variable costs, processor fees, and fixed costs are all included.
  • This tool is useful when you want to know whether a promotion, channel, or price cut still gives you a realistic path to covering your fixed spend.

Notes

  • Break-even math only works if contribution per order is positive. If your per-order economics are negative, volume does not solve the problem.
  • Use realistic variable cost and fee assumptions instead of idealized numbers, especially when a marketplace or processor takes a percentage of gross order value.
  • This is a planning model for pricing and channel decisions, not a substitute for full accounting or cash-flow forecasting.