Free calculator for event rental owners
How many events does an event rental company need to break even?
Each event costs labor, fuel and cleaning. What is left pays the warehouse, trucks, insurance and the inventory itself. Break-even is the number of average events a month that covers them.
Break-even point
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events a month to cover every cost
Profit at today's level
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per month, before owner pay
Cushion above break-even
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how many you could lose and still cover costs
The starting numbers are an example for an event rental company. Replace them with yours.
The worked example
Each event brings in $2,800 and costs $1,100 to serve. That leaves $1,700 toward fixed costs of $26,000 a month. Divide one by the other and you need 16 events a month to break even. Every event past that adds $1,700 to profit.
Ways to lower break-even in an event rental company
- Rent the same inventory twice on peak weekends with tight scheduling.
- Charge delivery and setup at their full cost.
- Add corporate and off-season events to use inventory all year.
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