How to Calculate Your Business’s Break Even Point
You’ve heard the term “break even.” It’s a popular way to describe a time when you spent exactly as much money as you made. “We gambled $200 at the casino and won $200, so we broke even.”
But in a business context, it’s not that simple. Your break-even point doesn’t just happen in Vegas, and needs to be constantly recalculated for you to turn a profit in the long term. Here’s how to find it.