Tree service Service Volume Break-Even
Break-even sales = ceiling(fixed costs / (price − variable cost))
Gather a completed job sheet, supplier quotes and a crew schedule. Include crew time, equipment hire, and waste removal. The starting figures are examples. Replace them with your own records.
Formula and worked example
Break-even sales = ceiling(fixed costs / (price − variable cost))
| Input | Example |
|---|---|
| Monthly fixed costs | 8,000 |
| Average price per tree job | 500 |
| Variable cost per tree job | 300 |
| Calculated result | 40 sales per month |
Choose reliable inputs
Plan materials, travel and crew time before committing to a price. For this tree service calculation, use a completed job sheet, supplier quotes and a crew schedule and a consistent definition of one tree job.
- Crew time: include the portion belonging to this tree job or reporting period, and record where the value came from.
- Equipment hire: include the portion belonging to this tree job or reporting period, and record where the value came from.
- Waste removal: include the portion belonging to this tree job or reporting period, and record where the value came from.
Use the same currency for every money input. Do not mix weekly costs with monthly revenue, or count the same expense in both an itemised cost and allocated overhead.
Should I count booked jobs or completed paid sales?
Use the delivery and revenue definition matching your cost period. Bookings can cancel and do not automatically produce cash.
Assumes stable average price and variable cost; multiple service mixes need separate analysis.
What if this input changes?
If monthly fixed costs rises by 10%, this example changes by 4 sales per month. This shows the effect of one change; it does not predict what will happen.
Open the calculator, save your baseline, then change the input supported by the least reliable estimate in your records. Compare both scenarios before committing to a price or capacity promise.