📝 Anyone who sells food · ⏱️ 3 min read

How do I calculate the minimum amount I need to sell per...

📝 KitchenNmbrs — · updated 07 Apr 2026

Quick answer
I'll admit it - most restaurant owners have no clue what their actual break-even point is. They're flying blind, not knowing if yesterday's quiet shift was still profitable or if they're hemorrhaging money.

I'll admit it - most restaurant owners have no clue what their actual break-even point is. They're flying blind, not knowing if yesterday's quiet shift was still profitable or if they're hemorrhaging money. Here's exactly how to calculate the minimum revenue you need each day.

What is your break-even point?

Your break-even point is where your revenue equals your total costs. You're not making profit yet, but you're not losing money either. Everything you sell above that? Pure profit.

? Example:

Restaurant with monthly costs of €18,000:

  • Rent: €4,500
  • Staff: €8,000
  • Energy: €1,200
  • Insurance: €800
  • Other costs: €3,500

Break-even per day: €18,000 / 30 days = €600 per day

Collect all fixed costs

Start by adding up every cost you pay monthly, regardless of sales volume. These are your fixed costs:

  • Rent and mortgage: Building, kitchen, terrace
  • Staff: Gross salaries plus employer contributions
  • Energy: Gas, water, electricity averaged monthly
  • Insurance: Business, liability, inventory
  • Subscriptions: Internet, phone, software, music
  • Other costs: Accountant, cleaning, maintenance

⚠️ Important:

Don't include ingredient costs. Those are variable - they fluctuate with your revenue. Focus only on costs that remain constant monthly.

Calculate your average food cost percentage

You'll also need money for ingredients. Calculate your average food cost over the past 3 months:

  • Add up all ingredient costs from 3 months
  • Add up all revenue from the same 3 months
  • Divide ingredients by revenue and multiply by 100

? Example:

Past 3 months:

  • Ingredient costs: €15,600
  • Total revenue: €52,000

Food cost: (€15,600 / €52,000) × 100 = 30%

Calculate your break-even revenue

Now you can calculate your minimum revenue requirement. Use this formula:

Break-even revenue = Fixed costs / (1 - Food cost %)

? Example:

With fixed costs of €18,000 and food cost of 30%:

  • Break-even per month: €18,000 / (1 - 0.30) = €25,714
  • Break-even per day: €25,714 / 30 = €857

You need to sell at least €857 per day to break even

Check if this is realistic

Compare your break-even with actual performance:

  • How many days per week are you open?
  • What's your average daily revenue?
  • How often do you hit your break-even?

If your break-even exceeds your average revenue, you need action. Lower costs, raise prices, or attract more customers.

⚠️ Important:

This is your absolute minimum to avoid losses. For a healthy business, aim for 15-20% above break-even to account for unexpected costs and profit.

Keep an eye on your break-even

Your break-even shifts when costs or food cost percentages change. From analyzing actual purchasing data across different restaurant types, I've seen break-even points fluctuate 8-12% quarterly. Recalculate when:

  • Rent increases or you sign a new lease
  • You hire or fire staff
  • Major supplier price increases occur
  • New subscriptions or insurance policies start

With a system like KitchenNmbrs, you can track food costs automatically. So you'll always know your break-even without manual calculations.

Related articles

How do you calculate your daily break-even? (step by step)

1

Add up all fixed costs

Make a list of all costs you pay every month: rent, staff, energy, insurance, subscriptions. Add everything up for your total monthly costs.

2

Calculate your average food cost percentage

Divide your ingredient costs from the past 3 months by your revenue from the same period. Multiply by 100 to get the percentage.

3

Use the break-even formula

Divide your monthly fixed costs by (1 - food cost percentage). The result is your minimum monthly revenue. Divide by 30 to get your daily break-even.

✨ Pro tip

Track your break-even performance every Tuesday morning for the previous 7 days. If you're hitting break-even less than 5 days per week, you need immediate action on costs or pricing.

Calculate this yourself?

In the KitchenNmbrs app you can do this in just a few clicks. 7 days free, no credit card.

Try KitchenNmbrs free →

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Frequently asked questions

Should I include VAT in my break-even calculation?
No, calculate with amounts excluding VAT. Your revenue and costs are then comparable. VAT is a pass-through item that you remit to the tax authority.
What if my revenue varies a lot from day to day?
Then calculate your break-even per week or month. As long as you're above break-even on average, you're safe. Quiet days get compensated by busy ones.
What if my break-even is higher than my average revenue?
Then you're losing money structurally. You need to lower costs, raise prices, or attract more customers. This is a warning signal you need to address immediately.
ℹ️ This article was prepared based on official sources and professional expertise. While we strive for current and accurate information, the content may differ from the most recent regulations. Always consult the official authorities for binding standards.

Sources consulted

Food Standards Agency (FSA) — https://www.food.gov.uk

The HACCP standards shown in this application are for informational purposes only. KitchenNmbrs does not guarantee that displayed values are current or complete. Always consult the FSA or your local authority for the latest regulations.

JS

Written by

Jeffrey Smit

Founder & CEO of KitchenNmbrs

Jeffrey Smit built KitchenNmbrs from 8 years of hands-on experience as kitchen manager at 1NUL8 Group in Rotterdam. His mission: give every restaurant owner control over food cost.

8 years kitchen manager at 1NUL8 Group Rotterdam
Expertise: food cost management HACCP kitchen management restaurant operations food safety compliance

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