Bath Bomb Manufacturing Break-Even: About $171K Monthly Revenue

Fixed costs $13.9K/mo Overhead plus payroll

Contribution margin 81.2% After variable costs

Break-even revenue $17.1K/mo Monthly target

Break-even timing Month 2 Model ramp point

Break-even calculator

Use this calculator to test monthly revenue, variable costs, and fixed costs against break-even for bath bomb production.

Lean Base Full

Monthly revenue Revenue sets how much margin is left to cover fixed costs. $ Low volume High volume Variable expenses Use direct costs that rise with each bath bomb sold. $ Low cost High cost

Money available to cover fixed costs $52,003 $62,746 revenue - $10,743 variable expenses

Margin ratio

83%

Covers fixed costs

Yes

Fixed monthly costs This is the monthly cost base break-even has to cover. $ Light overhead Heavy overhead

Break-even chart Revenue Total costs

Which bath bomb manufacturing expenses are fixed, and which move with each sale?

Cost classification

Break-even is only reliable when unit costs stay in margin and monthly commitments stay in overhead. Mix them up, and you’ll either overhire too early or price products too low.

Expense	Cost	Break-Even Treatment	Common Mistake
Raw materials	Variable	Apply $0.60 to $0.80 per unit based on product mix.	Using one average input rate for every scent.
Direct labor	Variable	Apply $0.30 to $0.40 per unit as production volume rises.	Double counting labor already included in salaried payroll.
Packaging	Variable	Apply $0.20 to $0.30 per unit sold or produced.	Forgetting premium packaging on higher-priced products.
Workshop rent	Fixed	Include $1,500 per month in fixed overhead.	Spreading rent per unit before proving sales volume.
Salaried payroll	Fixed	Use $11,667 per month in the first year.	Treating monthly salaries like per-unit production labor.
Workshop utilities	Semi-variable	Model $300 monthly overhead plus 0.5% of revenue.	Using only the bill minimum and missing usage drag.
Equipment maintenance	Semi-variable	Include 0.2% of revenue as production-linked overhead.	Leaving maintenance out until equipment breaks.
Legal and compliance fees	Fixed	Include $100 per month in fixed overhead.	Treating launch capex as recurring monthly overhead.

How does break-even change from lean launch to full-scale bath bomb production?

Scenario table

Lean launch covers fixed costs, base production widens the cushion, and full-scale output gives the strongest margin. The main swing is fixed payroll and overhead versus monthly revenue; capex is excluded here, so this is operating break-even only.

Planning assumptions only; one-time capex is excluded, so this shows operating break-even, not total startup funding.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean launch batch	$27,000	$5,073	$13,917	81.2%	$8,011	Small-batch launch clears fixed costs, but the cushion is modest.
Base steady production	$62,746	$17,163	$23,917	72.6%	$21,667	Steady output keeps fixed costs covered with room to scale.
Full-scale wholesale and direct-to-consumer mix	$117,725	$26,808	$23,917	77.2%	$67,000	Scaled volume gives the widest cushion above break-even.

What breaks the break-even plan if sales slow, overhead rises, or margin slips?

Stress test

The plan clears break-even at the base run rate, but a 20% sales miss, a 10% fixed-cost bump, or a 5-point margin slip can squeeze the cushion fast. The combined shock leaves only about $1.2k of monthly operating room.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change; monthly revenue stays at $27,000 and contribution margin stays near 81.2%.	$17,140	$9,860 cushion	Base case clears break-even with room left.
Revenue shortfall	Monthly revenue falls 20% to $21,600 while margin stays unchanged.	$17,140	$4,460 cushion	Still above break-even, but reorder delays would cut the buffer fast.
Fixed-cost pressure	Fixed monthly payroll and overhead rise 10% to about $15,308.	$18,850	$8,150 cushion	Higher payroll and overhead push the break-even line up quickly.
Margin pressure	Contribution margin drops 5 points to about 76.2% from higher packaging waste, paid fees, or shipping drag.	$18,260	$8,740 cushion	Small cost leaks matter, especially if paid channel fees move above 4%.
Combined pressure	Revenue drops 20%, fixed costs rise 10%, and margin falls 5 points.	$20,090	$1,510 cushion	Only about $1.2k of monthly operating cushion remains, so the plan gets fragile.

Can you prove the bath bomb line will break even before you sign the lease and hire?

Founder checklist

Don’t sign the lease or hire into this model until you’ve proved the line can sell about $171K a month and still keep cash above the Month 2 low point of $1.174M. The current Year 1 plan only shows 32,000 units a year, so the gap is real.

1Demand Proof$171K/mo

Verify wholesale and direct orders can reach about $171K a month, which is roughly 16.9K units at a $10.13 weighted average price.

2Fixed Load$13.9K/mo

Make sure the $13.9K monthly fixed load, plus the $10,000 buildout, still fits cash before you lock the workshop lease.

3Unit Margin81% CM

Check that the mix still leaves about 81% contribution margin after unit costs and revenue-based fees, because break-even only works if volume scales without a lot of waste.

4Capacity Ramp32K/yr

Year 1 output is 32,000 units, so confirm the line can scale well past that before the $15,000 equipment buy and any van spend.

5Cash Cushion$1.174M

Hold enough cash to absorb the Month 2 low point of $1.174M before you commit to the lease, equipment, or early hires.

6Launch ReadyWholesale-ready

Get labels, packaging flow, and shipping steps ready before wholesale outreach so orders do not land before the team can ship cleanly.