Remote Car Start Installation Break-Even: About 67 Installs Monthly

Fixed costs $3.5K/mo Core overhead

Contribution margin 71% After variable costs

Break-even revenue $22.4K/mo Monthly target

Break-even timing Month 6 Model crossover

Break-even calculator

Test monthly revenue, variable expenses, and fixed costs to see where a remote car start installation business breaks even.

Lean Base Full

Monthly revenue Revenue from installs creates the pool that covers direct cost and overhead. $ Lower revenue Higher revenue Variable expenses Kits, fuel, shop supplies, and card fees move with each install. $ Lower direct cost Higher direct cost

Money available to cover fixed costs $53,026 $73,750 revenue - $20,724 variable expenses

Margin ratio

72%

Covers fixed costs

Yes

Fixed monthly costs Rent, insurance, software, comms, admin, and wages that stay on the clock. $ Lower overhead Higher overhead

Break-even chart Revenue Total costs

Which remote car start installation expenses stay fixed, and which move with sales volume?

Cost classification

Break-even gets reliable only when job-linked expenses stay out of fixed overhead. In the first operating year, variable items run about 29% of revenue before labor scheduling pressure.

Expense	Cost	Break-Even Treatment	Common Mistake
Storage Unit and Small Office Rent	Fixed	Include $1,200 per month in baseline overhead that must be covered before profit.	Spreading rent across jobs and missing the cash due in slow months.
General Liability and Garagekeepers Insurance	Fixed	Include $450 per month as recurring protection overhead across Month 1 through Month 60.	Leaving insurance out until renewal, then overstating monthly margin.
CRM and Scheduling Software Subscription	Fixed	Include $250 per month as operating overhead needed to book and route installs.	Treating software as optional even though scheduling capacity depends on it.
Hardware Kits and Wiring Harnesses	Variable	Model at 18.0% of first-year revenue, falling to 16.0% by Year 5.	Using gross revenue as margin and forgetting kit costs on each install.
Consumables and Shop Supplies	Variable	Model at 3.0% of first-year revenue, then 2.2% in the mature year.	Calling tape, connectors, and shop supplies too small to track.
Fuel and Vehicle Maintenance	Variable	Model at 5.0% of first-year revenue, improving to 4.2% as routes get denser.	Ignoring drive time and mileage when pricing mobile installation jobs.
Payment Processing Fees	Variable	Model at 3.0% of revenue every year because fees rise with collected sales.	Pricing jobs from invoice value instead of net cash after card fees.
Installer Staffing and Dispatch	Semi-variable	Cover base staffing first, then add labor pressure as install volume, callbacks, and dispatch load rise.	Treating callback labor and warranty rework as free.

How does break-even shift from a lean mobile launch to a full multi-technician setup?

Scenario table

Break-even is tight in the lean launch, then improves as more revenue spreads the same core overhead. The full setup has the widest cushion, but only if install volume stays high enough to cover the bigger payroll.

Planning assumptions only; real results will move with install mix, labor load, and booking efficiency.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean mobile-only launch	$239k	$69k	$170k	71.0%	$0k	Barely clears break-even, so any dip in installs or labor efficiency turns it negative.
Base mobile plus support	$346k	$100k	$170k	71.0%	$76k	Solid cushion, with profit held up by the 71% margin and controlled overhead.
Full multi-technician operation	$2,778k	$706k	$527k	74.6%	$1,546k	Wide cushion, but the larger payroll only works with steady high volume.

What pushes this remote start installation plan below break-even?

Stress test

The plan has a cushion, but it gets thin fast if lead flow slows, vehicles take longer, or callbacks and warranty work push variable costs up. Every extra $1,000 of monthly overhead needs about $1,408 more revenue at the current margin.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change.	$239,000/mo	$107,000 cushion	Healthy, but not wide.
Revenue shortfall	Monthly revenue falls 15% below plan.	$239,000/mo	$55,000 cushion	A sales dip cuts the cushion fast.
Fixed-cost increase	Fixed overhead rises by $1,000/month.	$240,408/mo	$105,592 cushion	Overhead creep chips away at margin.
Margin pressure	Parts, labor, and warranty work lift variable expense by 1 point.	$242,414/mo	$103,586 cushion	Small rework spikes matter at this margin.
Combined pressure	Revenue falls 25%, overhead rises $1,000, and variable expense rises 1 point.	$243,843/mo	$15,657 cushion	A softer pipeline plus higher cost can erase the cushion fast.

Can you prove 67 installs a month before you commit to the larger lease?

Founder checklist

Do not commit to the larger lease or extra hiring until you can book about 67 installs a month and keep the Year 1 CAC near $65. Break-even lands in Month 6, but the minimum cash need peaks at $793K in Month 2, so the timing is tight.

1Demand Proof67/mo

Do not sign a larger lease until you can book about 67 installs a month, because that is the pace needed to make Month 6 break-even believable.

2Fixed Load$15.9K/mo

Make sure rent, insurance, software, comms, accounting, fleet insurance, and Year 1 payroll stay near this load so the Month 6 break-even target holds.

3Unit Margin71% CM

Verify suppliers can cover kits, wiring harnesses, and vehicle fitment, because the 71% gross contribution only works when parts are on the shelf and jobs start on time.

4Crew Ramp2.5 FTE

Confirm the opening crew can handle standard, premium, and smartphone systems, and lock the warranty and rework flow before launch so callbacks do not eat billable hours.

5Cash Buffer$793K

Keep enough cash for the Month 2 trough, because the van, tools, inventory, website, and early payroll hit before payback starts.

6Launch CAC$65 CAC

Test marketing at the Year 1 CAC of $65, and only buy more equipment after bookings are real, not hoped for.