Break-Even Revenue Calculator
Sales value needed to cover fixed costs.
Break-even revenue
$17,143
at a 35.0% contribution ratio
How the Break-Even Revenue Calculator works
For a store selling dozens of products at different prices, break-even in units is meaningless. Break-even revenue solves it by working from the average share of each sale that contributes toward fixed costs.
Not financial advice. Marketplace fees change, and they vary by country, plan and seller status. Every rate here is an editable default, not a quoted price — check the platform's current fee schedule before you price a product against it. This is not tax or business advice.
Frequently asked questions
How is break-even revenue calculated?
Fixed costs ÷ contribution margin ratio. With £6,000 of monthly fixed costs and a 35% contribution margin ratio, break-even revenue is £17,143.
Why use revenue rather than units?
Because a mixed catalogue has no single unit. Revenue break-even works whatever the product mix, as long as the overall contribution margin ratio is reasonably stable — which is itself worth monitoring.
What happens if my product mix shifts?
The contribution ratio moves and break-even moves with it. Selling more low-margin items raises the revenue needed to break even, which is how a store can grow turnover and lose money simultaneously.
Should break-even include tax?
No. Break-even is a pre-tax concept — at break-even there is no profit to tax. Include tax only when calculating the revenue needed to hit a specific after-tax profit target.