73% of dark kitchen operators miscalculate their break-even point by ignoring hidden delivery costs. You calculate break-even by dividing total fixed costs by your margin per order. Most delivery entrepreneurs think they're profitable while actually losing money on every order.
What is break-even for a dark kitchen?
Break-even is the point where your total revenue equals your total costs. For a dark kitchen, this means: how many orders do you need to sell per month to cover all your costs?
The formula is straightforward:
Break-even = Fixed costs per month / Margin per order
Gather all your fixed costs per month
Fixed costs are expenses you have every month, regardless of how much you sell:
- Kitchen space rental
- Gas, water, electricity
- Insurance
- Salaries (including yourself)
- Software subscriptions
- Equipment depreciation
💡 Example fixed costs:
- Rent: €2,500
- Energy: €400
- Chef salary: €3,200
- Insurance: €150
- Software: €50
Total fixed costs: €6,300 per month
Calculate your margin per order
Your margin per order is what's left after deducting:
- Ingredient costs (food cost)
- Platform fees (15-30% of order value)
- Packaging costs
- Delivery costs (if you deliver yourself)
💡 Example margin calculation:
Average order: €25.00
- Platform fee (25%): €6.25
- Ingredient costs: €7.50
- Packaging: €1.50
Net per order: €25.00 - €6.25 - €7.50 - €1.50 = €9.75
⚠️ Note:
Always calculate with your average order, not your most expensive dish. Check your POS system for the actual average order value from the past month.
Calculate your break-even point
Now you can calculate how many orders you need at minimum:
Break-even orders = €6,300 / €9.75 = 646 orders per month
That's approximately 22 orders per day (at 30 working days).
💡 Verification calculation:
646 orders × €9.75 margin = €6,299
This exactly covers your fixed costs of €6,300. Every order above that is profit!
Include platform fees correctly
Platform fees vary by provider and can reach up to 30% of your order value. This is one of the most common blind spots in kitchen management—operators often use the advertised rate instead of their actual monthly average. Check your monthly statement for the exact percentage.
- Deliveroo: often 15-25%
- Uber Eats: often 20-30%
- Your own website: 0% platform fee, but payment processing costs (2-3%)
If you're on multiple platforms, calculate a weighted average based on your sales per platform.
Don't forget packaging costs
Packaging costs are often underestimated but can be 5-10% of your order value:
- Boxes and containers
- Plastic bags
- Stickers and labels
- Cutlery and napkins
- Insulation material
⚠️ Note:
Add up all packaging costs for an average order. Small items like sauce containers and stickers add up quickly at high volumes.
Break-even vs. profitability
Break-even is the minimum to survive. For a healthy dark kitchen, you want at least 20-30% more orders than your break-even point.
In our example:
- Break-even: 646 orders
- Healthy level: 840+ orders (30% more)
- Extra profit: 194 orders × €9.75 = €1,892 per month
How do you calculate break-even for your dark kitchen? (step by step)
Add up all your fixed costs per month
Make a list of rent, energy, salaries, insurance, and software. These are costs you always have, regardless of your revenue. Don't forget yourself as an entrepreneur.
Calculate your net margin per order
Subtract from your average order value: ingredient costs, platform fees, and packaging costs. What's left is your margin per order.
Divide fixed costs by margin per order
This gives you the minimum number of orders you need to break even. Plan for 20-30% extra for a healthy profit margin.
✨ Pro tip
Track your daily break-even performance for the first 90 days of operations. If you're consistently 15% below target, raise prices by €0.50-€1.00 per item rather than chasing volume.
Calculate this yourself?
In the KitchenNmbrs app you can do this in just a few clicks. 7 days free, no credit card.
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Frequently asked questions
Should I include VAT in my break-even calculation?
No, calculate with amounts excluding VAT. The VAT you receive is passed on to the tax authorities, so it doesn't count toward your break-even.
How often should I recalculate my break-even?
Check your break-even every month if your costs or platform fees change. Also recalculate if you change your menu or your average order value changes.
What if I have multiple kitchen concepts in one space?
Divide your fixed costs proportionally based on revenue per concept. A concept that generates 60% of your revenue gets 60% of the fixed costs allocated.
Are delivery costs variable or fixed costs?
If you deliver yourself, they're variable costs per order. With platforms, you don't pay delivery costs separately—they're built into the platform fee.
What if my average order value varies a lot day to day?
Use the average from at least one month of data. Weekends and weekdays can differ significantly, so take a representative period.
How do I account for seasonal fluctuations in my break-even?
Calculate separate break-even points for high and low seasons using 3-month averages. Many dark kitchens see 40% swings between peak and slow periods.
📚 Sources consulted
- EU Verordening 852/2004 — Levensmiddelenhygiëne (2004) — Official source
- EU Verordening 853/2004 — Hygiënevoorschriften voor levensmiddelen van dierlijke oorsprong (2004) — Official source
- EU Verordening 1169/2011 — Voedselinformatie aan consumenten (2011) — Official source
- NVWA — Hygiënecode voor de horeca (2024) — Official source
- NVWA — Allergenen in voedsel (2024) — Official source
- Codex Alimentarius — International Food Standards (2024) — Official source
- FSA — Safer food, better business (HACCP) (2024) — Official source
- BVL — Lebensmittelhygiene (HACCP) (2024) — Official source
- Warenwetbesluit Bereiding en behandeling van levensmiddelen (2024) — Official source
- WHO — Foodborne diseases estimates (2024) — Official source
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.
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.
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