Break-Even Analysis using Free Templates

If you want to make a break-even analysis for your next venture or business plan then you can rely on free templates (for Excel, Google Spreadsheet, etc.). Here we will review some useful templates to make break-even analysis as well as leverage analysis. The break-even point is the sales volume that is sufficient to cover both fixed and variable costs. For example, you can use the spreadsheet template to forecast the break-even point and estimate the sales volume level needed to achieve a profit goal.

It is important to recall that at the break-even point the business does not produce any profit or loss, it simply earns just enough revenue to cover all costs.

Break Even Analysis using a Google Spreadsheet Template

In the following Google Spreadsheet Break-Even Analysis you can enter the variable cost data and the fixed cost data. The variable cost data is per unit data while fixed costs are totals. If you want to know the level of sales needed to achieve a particular profit, you can enter the target operating income for a given period.

Once you click to use the template you can go to template sheet and then enter the data in the spreadsheet before you can see the results.

You can open this template from Google Spreadsheet template gallery here.

Free Break Even Analysis Template for Excel

You can download this template from MS Office template gallery here. This template also let you see some pie charts for the break even analysis, for example you can see the variable costs per unit and the unit contribution margin.

There is also a sales volume analysis table that you can see at the bottom of the spreadsheet. This table is very useful if you want to see what are the different levels sales based on the volume per period and in units.

More complex calcs and forecasts can be performed depending on your industry and interests, for example if you need to make a break-even analysis for a SaaS company then you can refer to the work published by Chaotic Flow, explaining how to achieve the SaaS profitability, acquisiton rate, ARR, churn rate, time to profit, etc. are some variables in this estimation, and they show some nice charts for Breakeven Analysis that worth to have a in PowerPoint presentation (we will release a free break-even analysis template for PowerPoint very soon!).

If you are interested about break-even analysis for SaaS businesses then here are some important factors to keep in mind that will affect the profitability.

  1. Stable growth with churn
  2. viral growth
  3. growth through upselling and upgrades,

The sooner you break even on a single customer, the sooner you will reach profitability as a company



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