Free Business Tool
Break-Even Calculator
Find out how many units you need to sell to cover your fixed business costs.
Step 1
Tell Us About Your Business
Enter the selling price, direct cost and fixed costs for the period you want to analyse.
Enter the selling price for one unit, item, service or other unit of sale.
Enter the direct or variable cost of one unit.
Enter costs that generally remain the same regardless of how many units you sell, such as rent or fixed salaries. Use the same period for all fixed costs.
Step 2
Your Results
Contribution Per Unit
TZS 0
Amount from each sale available to cover fixed costs
Contribution Margin
0%
Exact Break-Even Units
0
The mathematical break-even point before rounding to a whole unit
Minimum Whole Units
0
The minimum number of complete units needed to reach or exceed break-even
Break-Even Sales Revenue
TZS 0
The mathematical sales revenue required to cover the fixed costs
Sales Revenue at 0 Units
TZS 0
Revenue generated when selling the required whole number of units
Step 3
Understand Break-Even
Your break-even point is where your sales are enough to cover your fixed costs after accounting for the direct cost of each unit sold.
Selling Price
The amount you receive from selling one unit.
Direct Cost
The cost that is directly associated with producing or purchasing one unit.
Fixed Costs
Costs that generally remain unchanged within the relevant activity range, such as rent or fixed salaries.
Good to Know
The calculator assumes that the selling price and direct cost per unit remain constant and that the fixed costs you enter relate to the same period. Real businesses can have changing prices, discounts, product mixes and costs, so the actual break-even point can differ.
Example
Imagine you sell a product for 570,000 TZS, the direct cost is 380,000 TZS per unit, and your fixed costs are 5,000,000 TZS.
Selling Price
TZS 570,000
Direct Cost
TZS 380,000
Fixed Costs
TZS 5,000,000
Contribution
TZS 190,000
The exact break-even point is approximately 26.32 units. Since whole units are required, you would need to sell 27 units to reach or exceed the break-even point. The mathematical break-even sales revenue is TZS 15,000,000, while sales revenue at 27 whole units would be TZS 15,390,000.
Important Information
This calculator provides an estimate based on the information you enter. It assumes a consistent selling price and direct cost per unit and does not account for changes in product mix, discounts, taxes, financing costs or other factors that may affect actual business performance. This tool is provided for informational purposes and is not professional accounting, tax, legal or financial advice.