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Find your break-even point

Enter your fixed costs, selling price, and cost per unit to calculate exactly how many sales you need to cover your costs.

Inputs

Rent, salaries, subscriptions, etc.
Average selling price
Variable cost per unit sold

Results

Break-Even Units
Break-Even Revenue
Contribution Margin

Break-Even Formula

Break-Even Units = Fixed Costs / (Price per Unit - Cost per Unit)

The break-even point is where total revenue equals total costs — you are neither making nor losing money. The contribution margin (selling price minus variable cost) shows how much each sale contributes to covering fixed costs.

How to improve your break-even

✂️

Reduce fixed costs

Review subscriptions, tools, and overhead. Cutting €200/month in fixed costs can lower your break-even by dozens of units.

📦

Increase average order value

Bundles, upsells, and cross-sells raise revenue per order, lowering the number of orders needed to break even.

🤝

Negotiate better COGS

Lower per-unit costs increase your contribution margin, dramatically reducing your break-even point.

STORELYST

Track your path to profitability

StoreLyst tracks all your costs — COGS, ad spend, subscriptions — so you always know exactly where you stand relative to your break-even point.

Learn about P&L Reporting →

Frequently asked questions

What is a break-even analysis?

Break-even analysis determines the point where your revenue covers all costs. It tells you the minimum number of units (or revenue) you need before your business starts generating profit. It is essential for pricing decisions and financial planning.

How do I calculate break-even for a Shopify store?

Add up all monthly fixed costs (Shopify subscription, apps, hosting, salaries). Then for each product, subtract COGS from the selling price to get the contribution margin. Divide fixed costs by your average contribution margin to find break-even units.

What are fixed costs vs variable costs?

Fixed costs do not change with sales volume — rent, salaries, subscriptions. Variable costs change per unit sold — COGS, shipping per order, transaction fees. Break-even analysis separates these to show how many sales cover your fixed overhead.

How can I lower my break-even point?

Three ways: reduce fixed costs (cut unnecessary tools/overhead), increase selling price (if market allows), or reduce per-unit variable costs (negotiate better supplier rates). Each approach lowers the number of units needed to break even.

Know your numbers in real time

StoreLyst gives you live P&L reporting across your entire store.