Pain Management Clinic Break-Even Revenue: About $118K/Month

Fixed costs $23.7K/mo Monthly fixed base

Contribution margin 86% After variable costs

Break-even revenue $27.6K/mo Revenue to cover costs

Break-even timing Month 2 Launch break-even point

Break-even calculator

Test monthly revenue, variable expenses, and fixed monthly costs for a pain management clinic.

Lean Base Full

Monthly revenue Revenue sets the pool that pays variable cost and overhead. $ Lower volume Higher volume Variable expenses Direct costs that rise with visits cut the margin left to cover overhead. $ Lower costs Higher costs

Money available to cover fixed costs $219,264 $251,450 revenue - $32,186 variable expenses

Margin ratio

87%

Covers fixed costs

Yes

Fixed monthly costs This is the monthly cost base the clinic must cover before profit starts. $ Lower overhead Higher overhead

Break-even chart Revenue Total costs

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

Cost classification

Break-even is only useful if each expense behaves the way the model says it does. In this clinic, payroll and facility costs set the floor, while supplies, drugs, billing fees, and some software rise with visits.

Expense	Cost	Break-Even Treatment	Common Mistake
Facility Lease	Fixed	Use $15,000 per month from Month 1 through Month 60.	Tying rent to visit count instead of treating it as a monthly floor.
Utilities	Semi-variable	Start with $2,500 per month, then watch usage as treatment rooms run longer.	Assuming utilities stay flat when volume and equipment use rise.
Provider and admin payroll	Semi-fixed	Use $930,000 per year, or $77,500 per month, in the first year; add staff in blocks.	Treating provider payroll like it flexes smoothly with each visit.
Medical Supplies	Variable	Model at 5.0% of revenue in the first year, declining to 4.5% by the fifth year.	Forgetting that supplies rise with completed procedures and sessions.
Pharmaceuticals	Variable	Model at 3.0% of revenue in the first year, declining to 2.5% by the fourth year.	Budgeting drugs as a flat monthly line despite higher visit volume.
Billing Service Fees	Variable	Use 4.0% of revenue in the first year, declining to 3.5% by the fourth year.	Leaving billing fees out of contribution margin.
EHR Software Subscriptions	Variable	Use 2.0% of revenue in the first year, declining to 1.5% by the fourth year.	Treating all software as fixed when this line scales with revenue.
Marketing & Advertising Fixed	Fixed	Use $2,000 per month as a committed spend in the break-even base.	Cutting marketing in the model while still assuming the same visit ramp.

How does break-even change across lean, base, and full clinic setups?

Scenario table

Lean launch clears break-even fastest because fixed costs stay lower, even with smaller revenue. Scaling to base and full service lifts the cushion, but only if staffing, scheduling, and reimbursement stay tight.

Planning-only figures based on model assumptions; actual results will move with payer mix, staffing, and utilization.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean launch clinic	$1.46M	$205K	$1.01M	86.0%	$247K	Revenue stays above the ~$1.18M break-even line, so Month 2 breakeven is plausible.
Base scale clinic	$3.61M	$462K	$1.49M	87.2%	$1.66M	Revenue is well above the ~$1.71M break-even line, so the cushion is strong.
Full-service clinic	$7.06M	$847K	$2.15M	88.0%	$4.06M	Revenue is far above the ~$2.45M break-even line, but only if staffing and reimbursement keep pace.

What breaks the break-even plan for this clinic?

Stress test

The base plan clears break-even, but the cushion gets thin fast if referrals slow or costs drift up. A 15% revenue drop or a 10% fixed-cost increase can shrink the buffer, and the combined stress turns the month into a gap.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change; base revenue is $1,464K/month with 14% variable load and $1,012K/month fixed costs.	$1,177K	$247K cushion	The plan works, but the buffer is not huge.
Revenue shortfall	Monthly revenue falls 15% to about $1,245K.	$1,177K	$59K cushion	A slower referral flow still stays barely above break-even.
Fixed-cost increase	Fixed costs rise 10% to about $1,113K/month.	$1,294K	$170K cushion	Lease and payroll creep raise the break-even bar fast.
Margin pressure	Variable expenses rise from 14% to 17% of revenue.	$1,219K	$245K cushion	Billing fees, supplies, or denials can trim the cushion quickly.
Combined pressure	Revenue falls 15%, fixed costs rise 10%, and variable load rises to 17%.	$1,325K	$80K gap	This is the first case that puts the month in the red.

Can you prove this pain management clinic clears break-even before you sign the lease and buy the equipment?

Founder checklist

Don't commit until you can show break-even demand, the staffing mix, and the cash to carry the early burn. The model points to about $1.177M in monthly revenue, $23.7K in monthly overhead, and a $505K cash floor in Month 6.

1Demand proof$1.177M/mo

Validate enough scheduled, reimbursable volume to reach this break-even revenue before you lock in the lease and the care team.

2Overhead load$23.7K/mo

The lease is $15K per month, and total facility and admin overhead is $23.7K per month before salary burn, so the space has to fit the patient plan.

3Margin check86% CM

Year 1 variable cost is 14% of revenue, made up of 5.0% supplies, 3.0% pharmaceuticals, 4.0% billing fees, and 2.0% EHR, so clean claims matter.

4Visit load65% cap

One of each provider at 65% capacity supports about 65 interventional procedures, 91 PT visits, 78 NP visits, 78 PA visits, and 59 psychology visits per month.

5Cash floor$505K

Keep this much working capital, because the model bottoms there in Month 6 even though break-even arrives in Month 2.

6Launch capex$530K

Fund the opening stack first: $150K for the C-arm fluoroscope, $60K for ultrasound machines, $200K for build-out, and the rest of the listed capex.