A barber renting a chair pays a fixed weekly rent. Rent ÷ profit per cut gives the haircuts needed each week just to cover the chair — the break-even before any take-home.
The example
$250 rent, $30 cut, $5 supplies.
| A | B | |
|---|---|---|
| 1 | Item | Value |
| 2 | 250 / 25 | — |
| 3 | Break-even | → 10 cuts |
The formula
The formula:
How it works
How it works:
- Profit per cut = price − per-cut supply cost.
- Divide weekly rent by it for break-even cuts; ROUNDUP to whole haircuts.
- Every cut past break-even is take-home pay.
- Compare to a commission arrangement to see which pays more at your volume.
Chair rent rewards volume; commission shares the risk. Because rent is fixed, a busy barber keeps everything past break-even — so 30 cuts a week on a $250 chair is far better on rent than on a 50% split. A slower barber may prefer commission, where there’s no fixed nut. Break-even cuts (rent ÷ profit per cut) is the number that tells you which side of that line you’re on.
Try it: interactive demo
Weekly rent, cut price, supply cost.
Variations
Take-home at a volume
Past break-even:
Daily break-even
Rent ÷ days:
Rent vs commission
Which pays:
Pitfalls & errors
Profit, not price. Divide rent by price minus supplies.
Round up. Whole haircuts to fully cover rent.
Compare models. Rent vs commission depends on your volume.
Practice workbook
Frequently asked questions
How do I calculate chair-rent break-even in Excel?
What's my take-home above break-even?
Rent or commission?
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