Break-even Analysis – how many units/services you need to sell to start gettting profits?

Break-even analysis is an important tool for project owners and financists to determine the minimum target volumes for a new project or business. The analysis will show you how much products/services the company should sell to cover its costs. Moreover, it provides you with the ability to split the costs between Cost of Goods Sold (COGS) and Selling, General & Administrative (SG&A) costs. The model will also provide calculations to choose the optimal price level depending on the number of units sold.

The model is a perfect fit for corporate presentations and Board meetings since you can quickly evaluate decisions and “play” with inputs to find the right way of development. It is also applicable to determine the minimum required target for your business. The model does not substitute the real project plan though, hence, if you need one, contact us at info@cfotemplates.com.

Functionality of the financial model

• Base Case Scenario with existing levels of inputs (Price, Units solds, COGS as % of Sales, etc.)
• Possibility to include Financing costs in the Break-even analysis
• Breakeven analysis derivations depending on changing variables such as Units Sold, Average Price, COGS, & SG&A costs.
• Break-even chart with fixed, variable and total costs, and sales
• Sensativity analysis to determine the optimal price of a product/service
• Sensativity analysis to see extreme points of COGS as % of Sales given the sales volume
• Sensativity analysis of SG&A expenses to COGS
• Ability to play with inputs to find out the right scenario

How to get the model?

You need to press the Add to cart button above and follow to the checkout! If you downloaded the model and try to apply it to your business, please leave us a feedback under this model. Otherwise, you are free to ask questions via our corporate email info@cfotemplates.com

 About us

CFOTemplates.com is owned and operated by AG Capital, a financial services and advisory firm. We specialize in providing Chief Financial Officer services to small and medium sized enterprises throughout North America and Europe. A team of widely experienced analysts is working on creation of Excel financial models for the CFOTemplates.com website. For more information, you can visit our corporate website agcapitalcfo.com

Let us do the work for you!

Contact our team if you’re looking for additional support with your company’s financial needs! You can request model adjustments for any template found on our website or request a completely customized financial template with your company’s data (operational budgets, cashflow projections, valuation models, cost analysis and other models).

Our company has over 12 years of experience as outsourced CFOs creating and improving financial models for different industries. Over these years we have worked with 500+ companies from 20+ countries in the world. We bet you won’t be able to name an industry we haven’t made financial models for.

The customization services are performed by the same team of analysts that organizes the Financial Modeling World Cup (our group’s company). The Financial Modeling World Cup is the world’s largest financial modeling competition, enjoyed by top-class modelers from all over the world. Our team is trusted by such big names as Microsoft, the main sponsors of the tournament, and ESPN who broadcast the tournaments to TV audience. You can learn more about FMWC here.

Drop us a line at info@cfotemplates.com and we’ll get back to you with an offer!

Have feedback or suggestions? Get in touch with our founder & CEO, Andrew Grigolyunovich, CFA: andrew@fmworldcup.com