Government Affairs

Our mission is to influence public policy to protect CEDIA members, the electronics industry and consumers.

Workforce Development

The future of smart home technology depends not only on the technology, but on the people who are desigining and installing it. 

Standards & Best Practices

CEDIA is committed to producing ANSI accredited standards and best practices that ensure professionalism in the industry. 

Design & Build Outreach

The CEDIA Outreach Instructor (COI) program enables members to provide continuing education to their local industry partners. 

Market Intelligence

Improve your business through knowledge of the latest trends statistics in the smart home industry.

Events Calendar

Search the CEDIA Calendar to locate all the up and coming events, training, including boot camps, workshops and more. 

Tech + Business Summits

Introducing the new and improved CEDIA Tech + Business Summits—the latest in innovative new technology and world-class, business- and tech-centric education to help you achieve your goals.


CEDIA Expo brings together home tech pros and exhibitors to the leading global event for smart home technology. 

Integrated Systems Europe

ISE showcases the world's leading technology innovators and solutions providers of four days of inspiring conferences. 

Smart Home Awards

CEDIA's Smart Home Awards programs recognises the top projects, products and individuals in the smart home technology industry. 

CEDIA Academy

The CEDIA Academy is the leading online learning portal for all your home technology integration learning.

In-Person Training

Elevate your expertise in smart home technology with our in-person training sessions. Gain hands-on experience and practical knowledge.


CEDIA Certification is a set of credentials that reflect defined areas of knowledge in the Smart Home Technology industry. Certifications are held by the individual; you earn the certification, and you carry it with you as you continue your career.

White Papers

CEDIA white papers dive deep into applications, recommendations, and advice on a wide range of topics: from software and hardware to best practices, standards, and formats.

Tech + Business Summits

The CEDIA Tech + Business Summits are one-day events showcasing upcoming technology and future trends in the smart home industry.

The Importance of the Breakeven Point

For smart home business owners, financial statements and accounting can be a challenge, but the breakeven point is still important to your business.

Financial information is the key to understanding the business's profitability, and knowing the numbers is essential for learning about your company and planning for the future.

Conducting a breakeven analysis is a critical step for every business to determine what sales volume is necessary to cover costs. It's especially crucial for start-ups that need to know their initial sales goals.

What is the breakeven point?

The breakeven point is the point where a business's total revenue is equal to its total expenses. This means at the breakeven point there's no profit; it's simply net zero.

How to calculate breakeven point

Simply, the breakeven point is: Total fixed costs / (Selling price - total variable costs).

Where to start with breakeven analysis

If you have never conducted a breakeven analysis before, you should start by assessing the company’s most commonly sold products and services. Business owners need to gather a lot of information, such as the total fixed cost of making each product, the variable costs for each product, the sales price of that product, and then the net profit derived from selling it, or installing it.

Why is breakeven analysis important?

This figure is important because it's the simplest way for a business to determine if what it charges for its products and services will cover what it costs to make the products or provide those services. The higher the fixed costs for the business, the higher the breakeven point will be, meaning the more offerings it needs to sell.

The process of determining the breakeven point is a good time for businesses to assess their true cost of doing business and their prices. Many start-ups don't understand their direct and indirect costs very well. Working on a breakeven analysis will help business owners and managers learn these figures and gain better insight into the accuracy of their prices and how realistic their sales goals are.

If the amount of sales a company needs to break even is more than it can realistically achieve in a year, then the business knows its products or services may not be priced well – or it needs to work to reduce costs.

Additionally, the business owner should know the total contribution each product and service makes to the company's overall profit. This step is important because it can help businesses determine products and services that aren't actually profitable, and the company can decide if it needs to raise the price, reduce the cost of offering it, or possibly discontinue it.

Looking for more insights for your smart home business?

A CEDIA membership is your career and business partner. For whitepapers, education resources and market insights to help your business grow, join CEDIA, today.

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