Calculators › Break-even calculator for shops
Rent, salaries and bills against your average margin: how much you must sell each month and each day before you make a rupee of profit.
Also searched as: dukan ka kharcha kitni sale se poora hoga · break even point · rozana kitni sale chahiye
Fixed costs every month (Rs)
Each sale leaves you only the margin. If you sell Rs 100 at a 15% margin, Rs 15 goes to pay rent, salaries and bills. Break-even sale = fixed costs ÷ margin. Rs 1,25,000 of fixed costs at 15% needs Rs 8,33,333 of sales a month, about Rs 29,762 a day over 28 days.
Include your own salary. A shop that only "breaks even" without paying the owner is losing money.
Raise the margin on slow, low-price items; cut a fixed cost such as a second generator or unused staff hours; or bring back customers who stopped coming. A small change in margin moves the break-even point more than most shopkeepers expect.
The sale at which the margin you earn just pays your fixed costs. Break-even sale = fixed costs ÷ margin. Rs 1,25,000 at a 15% margin needs Rs 8,33,333 a month.
Yes. If the owner takes nothing, a shop that "breaks even" is really losing the owner's wage.
Raise the margin on slow items, cut a fixed cost, or bring back customers who stopped coming. Each point of margin moves break-even a lot.
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