Hyperbaric Clinic Break-Even: About $746K Monthly Revenue

Fixed costs $19.8K/mo Base overhead

Contribution margin 88% After variable costs

Break-even revenue $22.5K/mo Monthly target

Break-even timing Month 1 Launch month

Break-even calculator

Use this to test whether monthly revenue covers variable expenses and the fixed cost base for a hyperbaric oxygen therapy clinic.

Lean Base Full

Monthly revenue This is the cash coming in before direct costs and overhead. $ Low volume Busy clinic Variable expenses These rise with patient volume, supplies, and payment fees. $ Tighter costs Higher costs

Money available to cover fixed costs $158,000 $180,000 revenue - $22,000 variable expenses

Margin ratio

88%

Covers fixed costs

Yes

Fixed monthly costs This is the monthly overhead the clinic pays either way. $ Lean overhead Heavier overhead

Break-even chart Revenue Total costs

Which clinic expenses are fixed, and which move with treatment volume?

Cost classification

Break-even is only useful if each expense lands in the right bucket. Rent and core payroll hit before volume is proven, while oxygen, supplies, marketing, and card fees move with treatment revenue.

Expense	Cost	Break-Even Treatment	Common Mistake
Facility lease	Fixed	Carry $12,000 per month from Month 1 through Month 60 as overhead before contribution margin.	Tying rent to utilization and making break-even look too easy.
Medical malpractice insurance	Fixed	Carry $3,000 per month as recurring clinical overhead.	Excluding it until claims activity starts.
Electronic health record (EHR) and scheduling software subscriptions	Fixed	Carry the $800 monthly subscription as operating overhead.	Mixing the setup spend with the recurring monthly subscription.
Utilities	Semi-variable	Use the $1,500 monthly base, then test added usage as chamber hours rise.	Leaving utilities flat when pressure, oxygen systems, and operating hours increase.
Medical-grade oxygen	Variable	Apply 3.0% of first-year revenue, declining to 2.5% by the mature year.	Entering oxygen as a fixed vendor bill instead of a treatment-linked input.
Disposable supplies	Variable	Apply 2.0% of first-year revenue, declining to 1.5% by the mature year.	Using one flat monthly amount even when treatment counts change.
Marketing and patient acquisition	Variable	Apply 5.0% of first-year revenue, declining to 4.0% by the mature year.	Calling all marketing fixed when spend follows patient volume.
Clinical and admin staffing	Semi-fixed	Model headcount in steps: technologists, nurses, coordinators, wellness coach, and marketing specialist are added as scale grows.	Treating payroll as purely variable; first-year wages are $550,000 per year, or $45,833 per month.

How does break-even change from lean to full utilization in a hyperbaric oxygen therapy clinic?

Scenario table

As utilization rises, revenue grows faster than fixed overhead, so the break-even cushion widens. The model shows break-even in Month 1 and payback at 16 months, but these are planning assumptions, not guaranteed demand.

Planning cases only: these figures are model assumptions, not guaranteed demand.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean opening case	$1.90M	$227k	$656k	88%	$1.01M	Above break-even, with a thinner cushion.
Base growth case	$5.12M	$563k	$875k	89%	$3.68M	Well past break-even, with strong coverage.
Full mature case	$8.00M	$784k	$986k	90%	$6.23M	Strongest cushion; break-even risk is low.

What breaks the break-even cushion for this hyperbaric clinic?

Stress test

At the base plan, $1,895K revenue covers $656K fixed costs and leaves a wide cushion. The real risk is slower referrals plus payroll, rent, oxygen, reimbursement, and chamber downtime pressure.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change.	$746K	$1,149K cushion	Strong starting cushion, but fixed costs stay high.
Revenue shortfall	Monthly revenue drops to $746K, the break-even level at an 88% contribution margin.	$746K	$0 gap	Any further referral delay turns profit to loss.
Fixed-cost pressure	Fixed costs rise 15% to $754K from higher payroll and rent.	$857K	$1,038K cushion	Lease or staffing inflation trims room fast.
Margin pressure	Variable load rises from 12% to 15% as oxygen and payment costs move up.	$772K	$1,123K cushion	Small cost inflation narrows the spread.
Combined pressure	Revenue falls 20%, fixed costs rise 15%, and variable load moves to 15%.	$887K	$629K cushion	Slower ramp plus higher overhead still stays above break-even.

Can this hyperbaric clinic clear break-even before you sign the lease and buy the chambers?

Founder checklist

Don’t commit until the model can support the lease, the buildout, and the Year 1 staffing plan. The break-even case only works if demand, cash, and launch timing all line up.

1Demand proof478 sessions/mo

Verify the local referral base can fill 478 monthly sessions, because that is the volume the model needs for the break-even case to hold.

2Fixed load$19.8K/mo

Make sure the lease at $12K a month still fits the plan, because monthly fixed costs total $19.8K and the listed buildout, chambers, and setup spend adds to $1.2M.

3Contribution margin88% CM

Check the math before you buy capacity: Year 1 variable costs are 12% of revenue, so the clinic keeps about 88% before rent and payroll.

4Staff ramp6 FTE

Verify Year 1 can start with the medical director, lead HBOT technologist, HBOT technologist, registered nurse, patient care coordinator, and administrative assistant in place.

5Cash floor$166K

Keep minimum cash above $166K in Month 6, since that is the projected low point and the cushion that prevents a short ramp from becoming a stall.

6Launch demandMonth 1

Confirm opening-month bookings can support the model's Month 1 break-even date; if the ramp slips, payback slows and early fixed costs hit harder.