Restaurant Break-Even Calculator
Find out how many customers per day and what revenue your restaurant needs to break even.
1 Fixed Costs (monthly)
2 Revenue Parameters
✓ Break-Even Point
Revenue / Month
β
Customers / Day
β
Revenue / Day
β
Cost Structure
Rentβ
Laborβ
Utilitiesβ
Insurance + marketing + otherβ
Total fixed costsβ
Food cost (at break-even)β
Contribution Margin per Check
Food
Margin
Food cost
Contribution margin
Profit Scenarios
If you attract more customers than your break-even point:
+10%
β
profit / mo
+25%
β
profit / mo
+50%
β
profit / mo
Labor Is Your Biggest Cost. Optimize It.
Labor is 30-35% of restaurant revenue. Shifty helps you build shift schedules fast and keep your team informed of changes.
Try Shifty FreeHow to Calculate Your Restaurant's Break-Even Point
Your break-even point is where revenue covers all costs β fixed (rent, labor) and variable (food). Knowing this number is critical for planning.
Break-Even Formula
Contribution Margin = Avg Check × (1 − Food Cost %)
Customers to Break Even = Fixed Costs ÷ Contribution Margin
Revenue to Break Even = Fixed Costs ÷ (1 − Food Cost %)
Typical Restaurant Cost Structure (% of Revenue)
| Category | % of Revenue | Notes |
|---|---|---|
| Food cost (COGS) | 28β35% | Main variable cost |
| Labor | 25β35% | Largest fixed cost |
| Rent / Occupancy | 6β10% | Location dependent |
| Other | 10β15% | Utilities, insurance, marketing |
| Profit | 3β9% | Typical restaurant margin |
Optimize Your Biggest Cost β Labor
Shifty helps you build shift schedules fast, manage availability and shift swaps β all from your phone.
Frequently Asked Questions
What is the average restaurant break-even point?
For a mid-range restaurant with $5,000 rent and 15 employees, a typical break-even is $25,000β$40,000 in monthly revenue, or 30β50 customers per day at a $30β$40 average check.
How can I lower my restaurant's break-even point?
Two main levers: 1) Reduce fixed costs β optimize shift scheduling, renegotiate lease terms, 2) Increase margin β revise menu pricing, reduce food waste, increase average check through upselling.
What is a normal restaurant profit margin?
Average net profit margin for restaurants is 3-9%. Fast food typically sees 6-9%, full-service restaurants 3-5%. Anything above 10% is considered excellent.
Keep Labor Costs Under Control
Labor is up to 35% of restaurant revenue. Shifty helps you schedule efficiently so you reach break-even faster.
Get Shifty β It's Free