On-Site Optometry Break-Even Point: $727K Monthly Revenue

Fixed costs $58.9K Monthly overhead

Contribution margin 81% After variable spend

Break-even revenue $72.7K Revenue needed

Break-even timing Month 2 Model break-even

Break-even calculator

See how monthly revenue, variable expenses, and fixed costs shape the break-even point for an on-site optometry model.

Lean Base Full

Monthly revenue Revenue sets the pool that can cover direct costs and fixed overhead. $ Low run rate High run rate Variable expenses These are the direct costs that rise as service volume and sales grow. $ Light direct Heavy direct

Money available to cover fixed costs $113,400 $140,000 revenue - $26,600 variable expenses

Margin ratio

81%

Covers fixed costs

Yes

Fixed monthly costs This is the monthly cost base your contribution margin has to cover. $ Lean overhead High overhead

Break-even chart Revenue Total costs

Which expenses are fixed, variable, or step up as mobile eye care sales grow?

Cost classification

Break-even is only useful if monthly overhead stays separate from revenue-driven spend. Here’s the quick math: fixed payroll and facilities set the hurdle, while lenses, eyewear, vehicle use, and commissions move with sales.

Expense	Cost	Break-Even Treatment	Common Mistake
Salaried clinical and operating staff	Fixed	Include optometrists, opticians, vision technicians, administrative coordinators, mobile drivers, operations manager, and marketing manager in monthly overhead; first-year payroll is about $49.2k/month.	Treating salaried provider pay like a per-exam expense.
Vehicle fleet insurance	Fixed	Use $2,500/month as overhead from Month 1 through Month 60.	Spreading fleet insurance across each route or visit.
Professional liability insurance	Fixed	Use $1,200/month as recurring overhead in break-even.	Linking malpractice coverage to exam volume.
Administrative office rent and practice software	Fixed	Use $4,000/month combined: $2,500 rent plus $1,500 electronic health record and practice management software.	Leaving software out of overhead because it feels operational.
Wholesale eyewear, lenses, and contact lenses	Variable	Apply 14.0% of revenue in the first year: 10.0% for eyewear and lenses plus 4.0% for contact lenses.	Using the product margin for exams that don’t include eyewear sales.
Vehicle operating costs and sales commissions	Variable	Apply 5.0% of revenue in the first year: 3.0% vehicle operations plus 2.0% commissions.	Calling all vehicle spend fixed and missing route-driven usage.
Equipment service plans and added route coverage	Semi-fixed	Add as capacity steps when new equipment coverage or route support is needed, not as a smooth percent of revenue.	Putting the full $760k startup spend into monthly break-even.

How does break-even shift from a lean route to a base plan and a full-scale mobile optometry build?

Scenario table

Break-even moves fast because fixed overhead stays sticky, but revenue can scale faster as route density, employer visits, and eyewear conversion improve. Lean is close to the line, base adds a usable cushion, and full scale has the widest margin.

Planning assumptions only; actual break-even will move with route density, staffing mix, and eyewear conversion.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean route case	$803K	$153K	$589K	81.0%	$61K	Cushion is thin, so small misses can hurt.
Base route case	$1,070K	$203K	$589K	81.0%	$278K	This is the clean break-even zone with room to absorb slippage.
Expanded route case	$3,940K	$704K	$1,242K	82.1%	$1,994K	Scale gives a wide cushion if volume and conversion hold.

What breaks the break-even plan for on-site optometry?

Stress test

The base plan clears break-even by about $343K, so there is a real cushion. The main pressure points are a 20% revenue drop, variable expense rising from 19% to 24%, and a $100K overhead increase.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change.	$727K	$343K cushion	Optician sales add $252K, so eyewear mix matters.
Revenue shortfall	Revenue falls 20% to $856K.	$727K	$129K cushion	A 20% drop still clears break-even, but the cushion shrinks fast.
Fixed-cost pressure	Fixed overhead rises by $100K.	$850K	$220K cushion	Another $100K of overhead cuts the cushion to $220K.
Margin pressure	Variable expense rises from 19% to 24%.	$774K	$296K cushion	A 5-point margin hit raises break-even by $47K.
Combined pressure	Revenue falls 20%, variable expense rises to 24%, and overhead rises by $100K.	$894K	$38K gap	The plan slips about $38K below break-even.

What should you verify before you commit to on-site optometry?

Founder checklist

Yes—don't scale the fleet until booked demand can clear at least $727K a month and the base plan can hit about $1.07M a month at 65% optometrist capacity and 60% optician capacity. If those numbers miss, the break-even date slips fast.

1Booking demand$1.07M/mo

Verify booked visits and eyewear sales can support the model before you add more vehicles or staff.

2Fixed load$58.9K/mo

Check that payroll plus overhead can carry the monthly floor, or the break-even date will move out.

3Product margin14% COGS

Lock supplier terms so eyewear, lenses, and contacts stay near the target cost base that protects contribution.

4Year 1 crew2-1-1-1-1

Confirm you can staff 2 optometrists, 1 optician, 1 vision tech, 1 admin coordinator, and 1 mobile driver from launch.

5Cash reserve$295K min

Keep enough cash through Month 5, when the model hits its low point, so the rollout does not stall.

6Launch gate$760K build

Get insurance, professional liability, licensing, and practice software ready before launch, and delay full spend until route density and eyewear conversion are proven.