Calculating the breakeven point is an essential tool to help businesses maintain steady and sustainable growth. It’s a simple formula: Breakeven Point = Fixed Costs / (Price – Variable Costs). In other words, the breakeven point is the amount of sales you need to cover your business costs. Once you reach this point, every sale increases your profits – and that means more money in your pocket! So it pays to get familiar with calculating your business’s breakeven point; this way, you can make sure you’re taking steps to ensure long-term success!