Cash Break Even is the point at which a business can cover all of its costs and expenses through cash-based income alone. This means that when all fixed costs, variable costs, taxes, and other related expenses are taken into account, the business will be able to maintain its operations with no further investment. It’s an important metric for businesses looking to understand their current financial situation and make decisions on how best to move forward. By understanding the cash break even point, business owners can plan investments, adjust pricing strategies, and make more informed decisions regarding their overall cash flow.