Cistern Cleaning Break-Even Analysis: $24K Monthly Revenue

Fixed costs $17.1K/mo Overhead plus payroll

Contribution margin 76.5% After variable spend

Break-even revenue $22.4K/mo Sales to cover fixed

Break-even timing Month 33 Model crossover point

Break-even calculator

Test whether monthly revenue from cistern cleaning covers direct costs and the fixed cost base.

Lean Base Full

Monthly revenue Use the monthly sales total before direct costs. $ Low sales High sales Variable expenses Use direct costs that rise with each cleaning job. $ Low direct cost High direct cost

Money available to cover fixed costs $39,000 $50,000 revenue - $11,000 variable expenses

Margin ratio

78%

Covers fixed costs

Yes

Fixed monthly costs Use the monthly overhead the business must cover. $ Light overhead Heavy overhead

Break-even chart Revenue Total costs

Which cistern cleaning expenses are fixed, variable, semi-variable, or semi-fixed?

Cost classification

Break-even gets more reliable when overhead stays separate from job-level spend. Here’s the quick math: first-year fixed overhead is $3,350 per month before payroll, while materials, testing, fuel, and card fees move with sales.

Expense	Cost	Break-Even Treatment	Common Mistake
Office rent and utilities	Fixed	Model at $1,500 per month across the relevant planning range.	Spreading rent across each job and making margin look too low.
Business insurance and licenses	Fixed	Model at $400 per month as monthly overhead.	Treating required coverage as if it rises with each cleaning.
Scheduling software subscriptions	Fixed	Model at $150 per month unless the plan tier changes.	Linking the full subscription to service volume too early.
NSF-certified cleaning chemicals and supplies	Variable	Model at 12.0% of revenue in the first year, declining to 10.0% by the mature year.	Forgetting that more jobs mean more chemicals and supplies.
Water testing kits and consumables	Variable	Model at 3.0% of revenue in the first year, declining to 2.5% by the mature year.	Putting testing supplies in overhead instead of job-level spend.
Vehicle fuel and per-service maintenance	Variable	Model at 6.0% of revenue in the first year, declining to 5.0% by the mature year.	Treating every vehicle dollar as fixed or every vehicle dollar as variable.
Salaried labor	Semi-fixed	Model first-year payroll at $13,750 per month, then step it up as staffing rises.	Assuming labor scales smoothly with each job instead of hiring in blocks.
Marketing	Semi-variable	Model the first-year budget at $15,000, or $1,250 per month, with $150 customer acquisition cost.	Treating the full budget as fixed while ignoring acquisition volume.

How do lean, base, and full service volumes change break-even for a cistern cleaning business?

Scenario table

Break-even shifts as route density rises and more recurring work fills the schedule. Lean volume still misses overhead, base is almost there, and full volume gets you over the line.

Planning assumptions only, not guarantees; job mix can move break-even up or down.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean service mix	$16,980	$3,990	$18,350	76.5%	-$5,360	Still below overhead, so loss risk stays high.
Base service mix	$24,112	$5,666	$18,350	76.5%	$96	Almost covers overhead, so the cushion is tiny.
Full service mix	$30,564	$7,183	$18,350	76.5%	$5,031	Above overhead, so the model turns profitable.

What breaks the cistern cleaning break-even plan?

Stress test

The base plan needs about $23,987 of monthly revenue to cover $18,350 of fixed costs. A 15% booking drop, a 10% overhead jump, or a 5-point margin squeeze each pushes it back into loss.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change.	$23,987	$0 gap	No cushion if bookings slip.
Revenue shortfall	Monthly revenue falls 15% to $20,389.	$20,389	$2,752 gap	Slow bookings turn into a monthly loss.
Fixed-cost pressure	Fixed overhead rises 10% to $20,185.	$26,386	$1,835 gap	Higher overhead eats the cushion fast.
Margin pressure	Variable expense rate rises 5 points to 28.5%.	$25,664	$1,199 gap	Fuel and supply inflation squeeze each job.
Combined pressure	Revenue falls 15%, fixed overhead rises 10%, and variable expense rate rises 5 points.	$28,224	$5,607 gap	Slower bookings and higher costs stack fast.

Can you prove the cistern cleaning operation clears break-even before you buy vehicles and add staff?

Founder checklist

Do not commit to vehicles, hiring, or a bigger lease until bookings can hold about 142 job-equivalents a month, overhead stays near $18.35K, and variable costs stay near 23.5% of revenue. That’s the line between a workable ramp and a cash drain.

1Demand proof142 jobs/mo

Verify local bookings can support about 142 job-equivalents each month at roughly $170 average revenue before you buy more capacity.

2Fixed overhead$18.35K/mo

Keep monthly overhead near $18,350 before scale, or the breakeven date slips and cash burn rises fast.

3Variable mix76.5% CM

Price jobs so supplies, water testing, fuel, and processing stay near 23.5% of revenue; that leaves 76.5% to cover overhead.

4Staffing rampYear 1 base

Hold the Year 1 base team until booked work justifies more technicians, because extra hires raise cash needs before revenue catches up.

5Marketing test$15K / $150 CAC

Spend the Year 1 marketing budget and check that customer acquisition cost stays near $150, or paid lead gen will outrun margin.

6Cash cushion$285K / Month 38

Keep at least a $285K reserve, since minimum cash lands in Month 38; also confirm equipment, testing tools, scheduling, and follow-up are ready before you ramp.