How the calculation works
Contribution per unit = selling price − variable cost per unit. Break-even units = fixed costs ÷ contribution per unit. Target-profit units = (fixed costs + target profit) ÷ contribution per unit.
Use costs from the same period. For a monthly break-even calculation, use monthly fixed costs and a per-unit variable cost that represents the same business model and sales channel.
What is break-even in a food business?
Break-even is the sales level where contribution from the units sold covers the fixed costs for the same period. The calculator uses selling price minus variable cost to find contribution per unit, then divides fixed costs by that contribution.
Use break-even to turn costs into a sales target
For a monthly calculation, enter monthly fixed costs and per-unit economics for the same sales channel. The result gives you an estimated number of units and the equivalent sales revenue needed to cover those costs. Add a target profit to see the sales level required above break-even.
If you do not yet know your unit cost, start with the food cost and pricing calculator.
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Start & Grow a Profitable Food Business connects costing, pricing, cash, inventory, waste, demand validation and growth into one practical playbook.
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