Free Ecommerce Break-Even Calculator — Know Exactly When Your Store Becomes Profitable
Running an e-commerce store without knowing your break-even point is like driving blindfolded. You might be getting orders, traffic, and even good engagement, but are you actually making money?
This free break-even calculator removes the guesswork. It shows you exactly how many units you need to sell to cover your costs, and when real profit begins.
What Is a Break-Even Point? (And Why Every Online Seller Must Know It)
Your break-even point is the point at which your revenue equals your total costs: no profit, no loss, just zero.
Why it matters:
- It tells you the minimum sales target
- Helps you price products correctly
- Prevents you from running ads at a loss
- Gives clarity on whether your business model even works
Real Examples for Pakistani Online Sellers (PKR-Based)
Not sure how to read the results? Here are three real-world scenarios based on common products sold on Daraz, Instagram shops, and Shopify Pakistan stores.
Example 1 — Skincare/Beauty Product Selling Price: Rs. 1,800 | COGS: Rs. 650 | Monthly Fixed Costs: Rs. 30,000 → Break-Even: 23 units/month
Example 2 — Clothing/Apparel Selling Price: Rs. 3,500 | COGS: Rs. 1,200 | Monthly Fixed Costs: Rs. 55,000 → Break-Even: 24 units/month
Example 3 — Electronics Accessory Selling Price: Rs. 2,200 | COGS: Rs. 900 | Monthly Fixed Costs: Rs. 40,000 → Break-Even: 31 units/month
How This Break-Even Calculator Works — Formula Explained
- Break-Even = Selling price x return ratio – ( purchase price + shipping cost + VAT + other tax )
- Return Ratio = Units Returned / Total Units Sold
- VAT Amount = Selling Price × (VAT% / 100)
- Net Profit = (Selling Price × (1 – Return Ratio))