ROI & Break Even

ROI is the Return On Investment from a project and is normally calculated after deducting project cost – so representing the long-term benefit, net of Requisite-IBD involvement.

Break Even can be quantified in Revenue terms i.e. how much revenue needs to increase to pay for project costs, or more normally in Time – i.e how many weeks / months need to elapse at new profit rates, for the project to pay for itself.

A number of things need to be available to calculate each, however these key bits of data should be known and if not, we can assist in finding them out as part of the process.

Required MI:
AOV
NPM
T/O
Sales/Wk
Sales/Mth
Fixed and
Variable Costs