Breakeven analysis model in Microsoft Excel to download.
This is a critical analysis to understand:
How long it will be before you turn a profit?
What are the best pricing levels?
Which costs do you need to cover?
Should you upgrade your machinery?
With this easy to use analysis tool, we build up your:
⚡Sales volumes - How many units you ship in a given time period (this can be a good or service)
⚡Unit pricing - How much you charge per unit
⚡Variable costs - costs that occur in making a sale, which rise in proportion to your sales e.g. direct labour and materials, commissions, packaging, royalties, or merchant fees
⚡Fixed costs - costs that occur regardless of whether you make a sale e.g. insurance, salaries & benefits or rent
⚡Your profit profile - given the volumes, pricing and costs
With this analysis you will:
Understand at what point you will start making a profit
Determine your best pricing strategy
Understand your unit costs and overall cost structures
Build your minimum unit sales targets
Set your budgets and gain focus
You can also run up to 5 scenarios to understand how increases (and decreases) in your unit price and costs will impact the breakeven volumes.
The analysis is also pre-populated to offer additional guidance.
The workbook is made up of:
1/ Introduction - clear instruction on how to use the model
2/ Breakeven analysis - where you input, test scenarios and calculate your breakeven point