Fertility Tourism Agency Break-Even Analysis: $146K Monthly Revenue

Fixed costs $11.9K/mo Core overhead

Contribution margin 58% After variable costs

Break-even revenue $20.5K/mo Monthly target

Break-even timing Month 1 Launch month

Break-even calculator

Test monthly revenue against variable expenses and fixed monthly costs for a fertility tourism agency.

Lean Base Full

Monthly revenue Revenue sets the pool that must cover direct costs and overhead. $ Lower sales Higher sales Variable expenses These are direct costs that rise as more cases move through the agency. $ Lower costs Higher costs

Money available to cover fixed costs $972,400 $1,040,000 revenue - $67,600 variable expenses

Margin ratio

94%

Covers fixed costs

Yes

Fixed monthly costs This is the monthly overhead base that contribution margin must cover. $ Lean overhead Higher overhead

Break-even chart Revenue Total costs

Which expenses are fixed and which move with sales for an international fertility travel agency?

Cost classification

Break-even only works if stable overhead and volume-linked expenses sit in the right buckets. Here, fixed overhead starts at $11,900/month before payroll, while Year 1 paid acquisition adds $62,500/month and variable fees reduce contribution on each booking.

Expense	Cost	Break-Even Treatment	Common Mistake
Office Rent	Fixed	Include $4,000/month in base overhead from Month 1 through Month 60.	Tying rent to treatment or booking volume.
Insurance	Fixed	Include $1,500/month as recurring operating overhead.	Treating coverage as optional until bookings scale.
Cloud Hosting and Tech Maintenance	Fixed	Include $2,500/month to keep the platform running.	Burying platform upkeep inside launch setup.
CRM and Software Subscriptions	Fixed	Include $1,200/month for recurring sales and patient workflow tools.	Counting only the setup work, not the monthly subscription.
Legal and Compliance Retainer	Fixed	Include $1,000/month in overhead for ongoing compliance support.	Confusing agency compliance with clinical legal advice.
Buyer and Seller Marketing Budgets	Semi-variable	Use $750,000 in the first year, or $62,500/month, then adjust with growth plans.	Assuming paid spend scales perfectly with completed bookings.
Patient Coordinators	Semi-fixed	Model $70,000 annual salary for 1.0 FTE in the first year, then step up as patient load rises.	Waiting to hire until service quality drops.
Payment Processing Fees	Variable	Apply 3.5% of revenue in the first year because it moves with transaction volume.	Forgetting that processing fees reduce contribution margin.

How does break-even change across lean, base, and full-service formats for a fertility tourism agency?

Scenario table

The base case clears break-even in Month 1 because $417,833 of monthly revenue covers about $31,337 of variable cost and $135,025 of fixed cost. A weighted Year 1 case earns about $2,743 from the $500 plus 7.5% commission formula, so surrogacy mix moves the line fastest.

Planning figures only; actual break-even will move with mix, fees, and volume.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Remote-first lean case	$417,833	$31,337	$129,325	92.5%	$257,171	Rent and tools are lighter, so the cushion is wider.
Base case	$417,833	$31,337	$135,025	92.5%	$251,471	This is the sourced case and it clears break-even in Month 1.
Full-service staffed case	$417,833	$31,337	$357,733	92.5%	$28,763	Higher staffing and marketing leave only a thin cushion.

What breaks the break-even plan if bookings slow or costs climb?

Stress test

The base plan clears break-even fast because monthly revenue is far above the fixed-cost floor. The real risk is a booking slowdown, higher marketing payroll, or a 1-point margin hit.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change.	$145,946	$271,887 cushion	Strong launch cushion.
Revenue shortfall	Monthly revenue falls 25% from the Year 1 average.	$145,946	$167,429 cushion	The model still clears break-even, but the buffer drops fast.
Fixed-cost pressure	Buyer and seller marketing plus payroll lift committed fixed spend to $182,317 a month.	$197,099	$220,734 cushion	Higher fixed spend pushes the break-even floor up fast.
Margin pressure	Variable expenses rise 1 percentage point, cutting contribution margin to 91.5%.	$147,551	$270,282 cushion	Even a small fee creep costs about $4,178 a month at Year 1 revenue.
Combined pressure	Revenue falls 25% and contribution margin slips to 91.5% while fixed spend stays at $182,317 a month.	$199,256	$114,119 cushion	The business still clears break-even, but the cushion shrinks sharply.

What should a fertility tourism founder verify before scaling clinic partnerships, paid acquisition, and payroll?

Founder checklist

Before you lock in payroll, paid acquisition, and clinic partnerships, test the model against real CAC, signed partner terms, and cash timing. If the Year 1 numbers miss, break-even slips fast and the Month 2 cash dip gets tight.

1Clinic terms$500 + 7.5%

Do not scale seller spend until clinic partner terms are signed and the fee split is clear, so each booking earns the fixed commission plus the variable fee.

2Buyer CAC$400 CAC

Validate buyer acquisition cost near the Year 1 assumption before you commit to the $500,000 buyer marketing plan, because paid demand has to clear that level.

3Seller CAC$20K CAC

Validate seller acquisition cost near the Year 1 assumption before you spend the $250,000 seller marketing budget, since partner acquisition can burn cash fast if closes slow.

4Fee stack$500 + 7.5%

Keep revenue tied to the agency fee stack, not treatment pass-throughs, and make sure the commission still clears clinic vetting and payment processing costs.

5Staffing ramp5 coordinators

Test patient intake, consent, privacy, translation, travel coordination, and post-booking support before adding more FTEs, because overload shows up first in slower booking.

6Cash buffer$650K

Hold at least the $650,000 minimum cash buffer and watch the Month 2 low point, since about $72.5K a month in fixed load can outrun collections if payment timing slips.