AS9100 Consulting Break-Even Analysis: ~$93k/Month Target

Fixed costs $32.2K/mo Base overhead

Contribution margin 86% After variable costs

Break-even revenue $37.4K/mo Revenue cover point

Break-even timing Month 29 Model break-even

Break-even calculator

See whether monthly revenue covers direct costs and overhead for an AS9100 consulting firm.

Lean Base Full

Monthly revenue Revenue is the cash available to cover direct costs and overhead. $ Low revenue High revenue Variable expenses Use direct costs that rise with each project, like certification fees and travel. $ Low direct costs High direct costs

Money available to cover fixed costs $52,635 $60,500 revenue - $7,865 variable expenses

Margin ratio

87%

Covers fixed costs

$2,586 short

Fixed monthly costs This is the monthly overhead contribution margin must cover. $ Low overhead High overhead

Break-even chart Revenue Total costs

Which expenses are fixed and which move with sales for an AS9100 certification consulting firm?

Cost classification

Break-even works only if fixed overhead, delivery-linked spend, and staffing steps are separated cleanly. In this model, fixed monthly overhead and payroll create the hurdle; 6.0% travel and 8.0% certification body fees move with revenue.

Expense	Cost	Break-Even Treatment	Common Mistake
Office Rent	Fixed	Add $4,500 per month to baseline overhead from Month 1 through Month 60.	Treating rent as project delivery spend and understating the monthly break-even hurdle.
Software Licensing	Fixed	Add $2,800 per month unless the seat count changes with headcount.	Linking the full license bill to revenue before seats actually scale.
Professional Insurance	Fixed	Add $1,200 per month to recurring overhead across the planning period.	Leaving insurance out because it is not tied to a client engagement.
Marketing and Advertising	Fixed	Use $4,000 per month in operating break-even; that matches the first year budget of $48,000.	Counting both the monthly plan and annual budget as separate spend.
CEO / Lead Consultant Payroll	Fixed	Carry $180,000 per year as committed staffing before calculating required revenue.	Treating proposal time as billable revenue instead of overhead needed to win work.
Senior Quality Consultant	Semi-fixed	Model as a staffing step: 0.5 FTE in the first year, then 1.0 FTE in the second year.	Smoothing the hire across revenue and hiding the cash jump when capacity is added.
Travel and Client Engagement Costs	Variable	Apply 6.0% of revenue in the first year as delivery volume grows.	Budgeting travel as flat overhead when client visits rise with project activity.
Third-Party Certification Body Fees	Variable	Apply 8.0% of revenue in the first year when these fees run through the consulting billing flow.	Mixing pass-through certification fees with consulting margin and overstating contribution.

How does break-even change from a lean launch to full capacity?

Scenario table

Break-even shifts as billable hours, project mix, and hire timing change. In this model, variable costs stay near 10% to 14% of revenue, so higher revenue does more of the work against overhead.

Planning figures only; actual results will move with utilization, travel, client mix, and hiring pace.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean launch case	$25,500	$3,570	$41,430	86%	-$19,500	Revenue stays below the launch cost base.
Base case	$99,917	$11,990	$82,010	88%	$5,917	Break-even lands at Month 29.
Full capacity case	$222,333	$22,233	$120,183	90%	$79,917	The model has a strong cushion above break-even.

What breaks the break-even plan for AS9100 consulting?

Stress test

The base plan reaches break-even by Month 29 with Year 3 revenue near $1,199,000 and about $71,000 of profit cushion. A 10% sales miss, higher travel, or hiring before backlog is signed can wipe that cushion out.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change.	$1,128,000	$71,000 cushion	Cushion is thin.
Revenue shortfall	Year 3 revenue drops 10% to $1,079,100.	$1,128,000	$49,000 gap	A small sales miss flips EBITDA negative.
Fixed-cost increase	Pull Year 4 hires into Year 3, adding about $130,000 in payroll.	$1,258,000	$59,000 gap	Hiring before backlog cuts the margin fast.
Margin pressure	Travel and client engagement costs rise from 5.0% to 12.0% of Year 3 revenue.	$1,212,000	$13,000 gap	Onsite work nearly wipes out the cushion.
Combined pressure	Revenue drops 10%, travel rises to 12%, and Year 4 hires start early.	$1,342,000	$263,000 gap	Long sales cycles and early hiring can push EBITDA deep negative.

Can you prove booked AS9100 work before you lock in office space and hiring?

Founder checklist

Don’t add fixed spend until signed work is close to the Month 29 break-even line. This model stays cash negative through the first two years, so the real test is whether booked consulting can cover the $17.2K monthly fixed load and protect the $195K cash floor.

1Signed backlogMonth 29

Confirm contracts in hand or near close before you add more fixed cost, because break-even does not land until Month 29.

2Fixed load$17.2K/mo

Check that the full monthly fixed stack, including $4.5K rent, can be carried by booked work before you lease space or hire ahead.

3Contribution86% CM

Verify the 8% certification-fee drag and 6% travel load still leave enough contribution to fund overhead, growth, and payroll.

4Delivery hours76 hrs/client

Make sure the Year 1 client mix can be delivered with 40 implementation hours, 16 audit hours, 12 maintenance hours, and 8 training hours, plus a subcontractor bench before full-time payroll.

5Cash floor$195K

Protect the Month 30 cash low point by delaying nonessential capex like the $35,000 office setup and $28,000 training room equipment spend.

6CAC check$4.8K CAC

Validate that customer acquisition cost holds near Year 1’s $4,800 level before you scale the $48,000 marketing budget and add more lead spend.