Bungee Jumping Business Break-Even: $755K Monthly Revenue

Fixed costs $25.5K/mo Base monthly overhead

Contribution margin 84.5% After variable costs

Break-even revenue $30.2K/mo Revenue target

Break-even timing Month 1 Launch break-even

Break-even calculator

Use this to test how monthly jump sales, direct costs, and fixed overhead affect break-even.

Lean Base Full

Monthly revenue Revenue drives the margin that has to cover fixed costs. $ Low traffic Peak traffic Variable expenses These are direct costs like ads and payment fees that rise with sales. $ Lower costs Higher costs

Money available to cover fixed costs $233,100 $252,000 revenue - $18,900 variable expenses

Margin ratio

92%

Covers fixed costs

Yes

Fixed monthly costs This is the monthly overhead from staff, site, and admin. $ Light overhead Heavy overhead

Break-even chart Revenue Total costs

Which bungee jumping business expenses are fixed, variable, or semi-fixed at break-even?

Cost classification

Break-even is only reliable if each expense follows the right volume behavior. For this model, insurance and lease stay fixed, while consumables, inspections, ads, and card fees move with jump revenue.

Expense	Cost	Break-Even Treatment	Common Mistake
Liability Insurance Premium	Fixed	Include $12,000 per month before calculating required jump revenue.	Treating renewal risk like a per-jump expense.
Site Lease Fixed Fee	Fixed	Include $6,000 per month even during low-volume periods.	Ignoring it during slow weather weeks.
Platform Facility Maintenance	Semi-fixed	Use the $4,500 monthly baseline, then stress-test higher repairs as volume rises.	Missing usage-driven repair spikes.
Jump Equipment Consumables	Variable	Apply the first-year rate of 5.0% of revenue to each sales dollar.	Underpricing harness and cord wear.
Safety Inspection Fees	Variable	Apply the first-year rate of 2.0% of revenue as jump activity scales.	Treating compliance checks as optional.
Marketing Digital Ads	Variable	Apply the first-year rate of 6.0% of revenue to support booking volume.	Cutting demand spend too early.
Payment Processing Fees	Variable	Apply the first-year rate of 2.5% of revenue to paid bookings.	Forgetting card fees scale with ticket sales.
Jump Crew Wages	Semi-fixed	Use $460,000 in first-year payroll, then step up staffing when capacity requires it.	Hiring ahead of proven volume.

How does break-even change across lean, base, and full operating levels for this bungee jumping business?

Scenario table

Lean just covers the fixed load, the base case starts to create cash cushion, and the full case gives room for swings. The gap comes from more jumps and add-ons spreading insurance, staff, and site costs over more revenue.

These are planning assumptions built from the model inputs, so they show direction and scale, not a promise.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean floor case	$62,917	$9,750	$53,167	84.5%	$0	At the floor, the site only covers fixed costs.
Base Year 1 average	$103,583	$16,083	$53,167	84.5%	$34,333	This is the first real cushion, but weather and mix still matter.
Full mature-year case	$316,500	$39,500	$64,667	87.5%	$212,333	Strong cushion, yet capacity and booking mix still set the ceiling.

What pressure points break the break-even plan for this bungee jumping business?

Stress test

The base plan clears break-even with about $412K of cushion, but weather cancellations and higher insurance can shrink it fast. A 40% revenue drop or a 10% fixed-cost hike is enough to turn comfort into risk.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change.	$756K	$412K cushion	Break-even is covered, but the cushion still needs steady traffic.
Revenue shortfall	Weather cancellations cut revenue 20%.	$756K	$202K cushion	Demand swings hit the cushion fast.
Fixed-cost increase	Fixed costs rise 10% from insurance and site overhead.	$832K	$349K cushion	Higher insurance pushes break-even up.
Margin pressure	Variable expenses rise from 15.5% to 20.5% of revenue.	$803K	$349K cushion	Equipment wear and sales fees eat margin.
Combined pressure	Revenue falls 40%, fixed costs rise 10%, and variable expenses rise to 20.5%.	$883K	$109K gap	This is the thin spot; use tight labor schedules and weather rebooking.

Can this site and launch plan clear break-even before you lock the lease and crew?

Founder checklist

Use this as a go/no-go screen before you sign the site and crew deal: the model needs about $63.8K a month in fixed costs and payroll, plus $795K in buildout capex. The booking plan also has to reach about 488 jumps and packages a month, or the $427K cash low in Month 8 gets tight.

1Demand proof488/mo

Verify the booking flow can reach about 488 jumps and packages a month at $180, $280, and $1,500 in Year 1, because that is the demand base behind the plan.

2Fixed load$63.8K/mo

Add the $25.5K monthly site overhead and about $38.3K of monthly payroll, and you are at about $63.8K a month before growth spend, so the site deal must clear that load.

3Contribution84.5% CM

Contribution margin, the cash left after variable costs, stays about 84.5% in Year 1 if consumables, inspection fees, ads, and processing stay near plan and digital ads do not run away.

4Staffing ramp7 FTE

Test whether seven full-time equivalents can cover jump-master duties, customer help, sales, and admin without adding payroll too early, because the model only steps up assistants later.

5Cash reserve$427K

Hold at least $427K of cash, since the model's low point lands in Month 8 and the opening buildout drains cash before volume is steady.

6Launch stack$795K

Do not sign the site agreement until you can fund the full $795K buildout and have the safety plan, inspection process, weather cancellation rule, and refund rules written.