Restaurant Break-Even Calculator

How many customers you need each day before your shop starts making money.

This restaurant break-even calculator shows how many customers you need each day to cover your costs. Most owners divide daily costs by the average check. That answer is too low, because you still pay for the food each customer eats. We count only what is left after food cost, because that is what pays the rent.

Customers per day = (monthly fixed costs ÷ days open + daily labor) ÷ (average check − food cost per check). Round up.

• You can have the answer emailed to you. We use the address once, to send that one email, and then we are done with it: you are not added to any list and we do not email you again.
• We take your average check and subtract the food and drink cost in it. That is what each customer contributes.
• We divide your monthly fixed costs by the days you open. Then we add one day of labor cost. That is what one day must cover.
• We divide the day's costs by the contribution per customer and round up. Customer 46.5 has not covered you. Customer 47 has.
• If cost of goods is 100% or more, we stop and show a message. No number of customers can cover the rent when each sale earns nothing.

How do I calculate break-even for a restaurant or cafe?

Add up one day of fixed costs and labor. Divide that by what each customer contributes, which is the average check minus food and drink cost. Round up. That is how many customers you need each day.

What counts as a fixed cost?

Anything you pay even if no customer comes in: rent, insurance, loan payments, software, licenses and base utilities. Food and hourly staff are not fixed. They go in cost of goods and daily labor.

Why is my break-even higher than my costs divided by my average check?

Dividing by the check assumes a 0% food cost. At 30% cost of goods, only 70 cents of each dollar is left to cover overhead. With the numbers in the form, dividing by the check says 33 customers. The real answer is 47.

How many days should I enter?

The days you open, not calendar days. 30 means open every day, 26 means closed one day a week, 22 means closed two days a week. The same rent split over fewer days raises the daily target: 26 days instead of 30 moves 44 customers to 47.

Does this include my own wages?

Only if you add them. Many owners leave their own pay out, and then break-even still feels like losing money. If you plan to pay yourself, add that amount to fixed costs.

Does this break-even calculator work for a salon or shop?

Yes. Use product cost in place of food cost, and the average sale in place of the average check. The math is the same.