Restaurant POS Break-Even Analysis: $628K Monthly Revenue Target

Fixed costs $47.3K/mo Year 1 base

Contribution margin 86% After variable costs

Break-even revenue $55.0K/mo Monthly target

Break-even timing Month 32 First breakeven month

Break-even calculator

Use this calculator to test monthly revenue, variable expenses, and fixed costs against break-even.

Lean Base Full

Monthly revenue Higher monthly sales create the margin that pays fixed overhead. $ Low sales High sales Variable expenses Direct costs that rise with sales, like cloud, payment fees, commissions, and hardware. $ Low direct cost High direct cost

Money available to cover fixed costs $72,250 $85,000 revenue - $12,750 variable expenses

Margin ratio

85%

Covers fixed costs

Yes

Fixed monthly costs Monthly overhead the model has to cover before profit starts. $ Lean overhead Heavy overhead

Break-even chart Revenue Total costs

Which restaurant POS expenses stay fixed, and which move with sales?

Cost classification

Break-even gets more reliable when each expense follows its real driver. Treat payroll, rent, and admin as fixed, but keep payment fees, commissions, hardware, hosting, and support tied to revenue or account load.

Expense	Cost	Break-Even Treatment	Common Mistake
CEO, CTO, developer, sales manager, and marketing specialist payroll	Fixed	Include as monthly overhead within the planned staffing level.	Spreading salary across each account as if it falls when sales dip.
Office rent, software licenses, utilities, insurance, legal and accounting, and admin supplies	Fixed	Use the recurring monthly total in the fixed overhead base.	Leaving small admin lines out of break-even because they look minor.
Payment processing fees	Variable	Apply as 3.0% of revenue in the first year, stepping down to 2.0% by Year 5.	Treating payment fees as fixed even though they rise with sales volume.
Sales commissions	Variable	Apply as 6.0% of revenue in the first year, falling to 4.0% by Year 5.	Modeling commissions inside payroll instead of as revenue-linked expense.
Hardware procurement cost	Variable	Apply as 5.0% of revenue in the first year, falling to 3.0% by Year 5.	Classifying all hardware spend as fixed equipment expense.
Customer support specialist	Semi-variable	Start in Month 13, then increase staffing as active account load grows.	Assuming support is either fully fixed or fully per-customer.
Cloud hosting and infrastructure	Semi-fixed	Model at 4.0% of revenue in the first year, stepping down to 3.0% by Year 5 as scale improves.	Treating all hosting as fixed and missing scale-based capacity steps.

How does break-even move from a lean pilot to full-scale growth for this restaurant POS?

Scenario table

Contribution margin is the share of revenue left after variable costs. The margin improves as the mix shifts, but payroll and marketing rise faster, so break-even revenue still climbs from pilot to full scale.

Planning assumptions only; these figures are not guarantees.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean pilot	$62.8k	$11.3k	$51.5k	82%	$0	Works for a pilot, but cushion is thin.
Base operating plan	$104.7k	$15.7k	$89.0k	85%	$0	Best fit for steady acquisition with tighter control.
Full-scale growth plan	$158.0k	$19.0k	$139.0k	88%	$0	Supports multi-location growth, but the revenue bar is high.

What breaks the break-even plan if sales slow or support costs rise?

Stress test

The break-even line is thin. At about $62,805 in monthly revenue and an 82.0% contribution margin, the model has no cushion, so slower signups, longer setup time, or higher support and fee load can push it back into loss.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current	No change.	$62,805	$0 gap	There is no cushion if sales slip.
Revenue miss	Monthly revenue runs 20% below break-even at $50,244.	$62,805	$10,300 gap	A slower signup pace shows up fast in cash burn.
Fixed cost rise	Fixed costs rise 10% to $56,650.	$69,085	$5,150 gap	Extra payroll or support spend needs more sales to hold even.
Margin pressure	Variable expenses rise from 18.0% to 23.0%, cutting contribution margin to 77.0%.	$66,883	$3,120 gap	Higher support load or fee pressure eats the buffer.
Combined	Revenue falls to $50,244, fixed costs reach $56,650, and contribution margin drops to 77.0%.	$73,571	$17,960 gap	Slow sales and heavier support together push break-even out hard.

What should you verify before you hire, buy hardware, and scale a restaurant POS?

Founder checklist

Before you lock in hiring, hardware, and marketing, prove the first restaurants can install, pay, and stay live at the model’s funnel and CAC. If the pilot cannot cover the $47.3K monthly burn, Month 32 break-even is not believable.

1Pilot installsBefore payroll

Verify pilot restaurants are live, payment approval is in place, and bundled hardware can ship before you add payroll or widen sales.

2Launch demand3.0% / 25.0% / $300

Track Year 1 traffic at 3.0% to free trials, 25.0% trial-to-paid, and $300 CAC, and hold marketing near the $50,000 Year 1 plan unless those numbers repeat.

3Fixed load$47.3K/mo

The listed fixed costs are $6.5K a month, and Year 1 salaries add about $40.8K a month, so confirm the early customer base can carry that burn.

4Margin floor82.0% CM

After 4.0% cloud, 3.0% payment fees, 6.0% sales commissions, and 5.0% hardware cost, Year 1 variable cost is about 18.0%, so contribution has to stay near 82.0%.

5Support rampMonth 13

Write support scripts now and test onboarding before Month 13, because the model does not add a Customer Support Specialist until then.

6Runway-$548K / M32

Keep cash above the $548K trough and plan for the Month 32 break-even date, because the business runs out of room before payback if cash slips earlier.