Building Maintenance Break-Even Point: About $72K/Month

Fixed costs $49.1K/mo Overhead floor

Contribution margin 74% After variable jobs

Break-even revenue $66.4K/mo Monthly target

Break-even timing Month 18 Model breakeven

Break-even calculator

Test monthly revenue, variable expenses, and fixed costs to see where this maintenance business breaks even.

Lean Base Full

Monthly revenue Revenue is the cash coming in each month before direct costs. $ Lower sales Higher sales Variable expenses These rise with jobs, materials, and sales activity. $ Lower costs Higher costs

Money available to cover fixed costs $56,600 $75,000 revenue - $18,400 variable expenses

Margin ratio

75%

Covers fixed costs

Yes

Fixed monthly costs This is the monthly overhead your margin has to cover. $ Lower overhead Higher overhead

Break-even chart Revenue Total costs

Which building maintenance expenses are fixed, and which move with sales?

Cost classification

Break-even is only reliable when fixed overhead, job-level spend, and staffing steps stay separate. Misclassify salaried technician payroll as purely variable, and the Month 18 break-even can look safer than it is.

Expense	Cost	Break-Even Treatment	Common Mistake
Office & Warehouse Rent	Fixed	Include $3,500/month in the monthly overhead floor.	Allocating rent to each job as if it rises with routes.
Utilities	Semi-fixed	Hold $800/month steady until a larger facility or longer operating hours raise the floor.	Treating all utility spend as direct job usage.
Business Insurance	Fixed	Include $700/month as recurring overhead before contribution margin.	Leaving insurance out because it is not tied to one work order.
CRM & Scheduling Software Subscriptions	Fixed	Include $500/month as operating overhead for dispatching, routing, and customer records.	Counting software as variable because usage supports more jobs.
Salaried Payroll	Semi-fixed	Use about $40.8K/month in the first year, then step it up as planned full-time equivalents increase.	Treating technician payroll like a pure variable cost when salaried FTEs are committed before routes fill.
Subcontractor Payments	Variable	Deduct 10% of revenue as direct job expense in first-year contribution margin.	Budgeting subcontractors as a flat monthly retainer.
Direct Materials & Consumables	Variable	Deduct 8% of revenue for parts, supplies, and consumables used on jobs.	Using gross revenue as contribution before parts and supplies.
Vehicle Operating Costs	Variable	Deduct 5% of revenue for fuel and maintenance tied to route volume.	Putting fuel and maintenance into fixed fleet overhead.

How does break-even shift from a lean month to base and full load in building maintenance?

Scenario table

Break-even is driven by revenue density, not just volume. With variable costs near 26% and fixed costs around $533K a month, $576K leaves a $107K gap, $720K lands at break-even, and $900K gives a $133K cushion.

Planning assumptions only; actual results will move with contract mix, staffing, and job timing.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean maintenance load	$576K	$150K	$533K	74%	-$107K	Still below break-even, so cash stays under pressure.
Base break-even case	$720K	$187K	$533K	74%	$0	At break-even, so any cost slip or mix change matters fast.
Full-load capacity case	$900K	$234K	$533K	74%	$133K	Above break-even, with a modest cushion if delivery stays efficient.

What breaks the break-even plan for a building maintenance business?

Stress test

This plan starts with no cushion, so small misses hit cash fast. A 10% revenue drop or a 10% fixed-cost jump each creates about a $53K gap, while a 31% variable-cost load still leaves about a $36K hole.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change.	$720K	$0 cushion	At break-even, so any miss shows up fast.
Revenue shortfall	Revenue falls 10% to $648K.	$720K	$53K gap	Missed renewals can turn the plan cash negative.
Fixed-cost pressure	Fixed costs rise 10% to $586K.	$792K	$53K gap	Overhead creep wipes out the cushion.
Margin pressure	Variable expenses rise to 31%.	$772K	$36K gap	Fuel, insurance, and overtime push the margin down.
Combined pressure	Revenue falls to $648K and fixed costs rise to $586K.	$850K	$139K gap	Weak renewals and cost creep create a deep deficit.

Can you prove the work will cover the fixed floor before you lock in vans, rent, and extra techs?

Founder checklist

Don't lock in vans, rent, or extra techs until the signed pipeline can support the fixed floor. Here’s the quick math: Year 1 payroll is about $40.8K/mo, non-payroll fixed costs are $8.3K/mo, and with 26% variable costs you need about $66.4K/mo in revenue to break even.

1Pipeline$66.4K/mo

Verify signed Basic, Pro, and Elite work can reach about $66.4K a month, because that is the break-even revenue floor before you add more fixed commitments.

2Fixed floor$49.1K/mo

Check that the current payroll and overhead are worth carrying, because Year 1 fixed load is about $49.1K a month before any extra hires.

3Margin rate74% CM

Confirm the blended contribution margin stays near 74%, because subcontractors, materials, vehicles, and sales pay must leave enough cash after each job.

4Crew load2.0 FTE

Make sure the current maintenance crew can stay busy with tight route planning, because idle technician time pushes break-even out fast.

5Runway$435K

Keep at least $435K of cash available through Month 18, because the model does not reach breakeven until then and cash bottoms there.

6CAC$500

Test that launch customer acquisition stays near $500 CAC, because the $50K Year 1 marketing budget only works if the first funnel is efficient.