Move Into the Profit Zone
Good news: You've reached the breakeven point! That means you can start making some serious cash.
By Amy Rauch Neilson • Jun 1, 2002
Opinions expressed by Entrepreneur contributors are their own.
(YoungBiz.com) - Here's something that may seem abit hard to fathom: as a new 'trep, you're actually goingto celebrate when your business reaches the zero profitmark. Sound crazy? It does until you realize that that is the pointwhen your business makes the transition from operating at a loss(the place where most businesses begin) to the place called thebreakeven point--and on to the profit zone.
Of course, the breakeven point--the point when your salesexactly cover your monthly expenses--is different for everybusiness. The only way to know your own is to do a breakevenanalysis. Don't worry; it's a simple calculation. Justfollow these steps:
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