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Finance

Breakeven Analysis

Breakeven analysis is an essential tool for management decision making, which determines when your business will start to make a profit. It is a combination of fixed and variable costs, which help you calculate the volume of sales required to at least cover all your costs. Your breakeven point is where your profit equals zero.

You can even calculate a new breakeven point if, for example, you decide to install new machinery or office equipment. Knowing your breakeven point is a must when fixing prices, and enables you to easily calculate the impact of sales price changes on your bottom line. The Business Development Experience can show you how to take control.

 

 

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