Fixed cost
A fixed cost is an expense that stays the same regardless of how much you produce or sell within a given period.
Fixed costs do not change with output — rent, insurance, and subscription software cost the same whether you serve one customer or a hundred. They contrast with variable costs, which rise and fall with the amount you produce.
Knowing your fixed costs is the foundation of break-even analysis. They form the hurdle every period's sales must clear before any profit is possible.
Variable cost
A variable cost is an expense that rises or falls in proportion to how much you produce or sell.
Break-even point
The break-even point is the level of sales at which total revenue exactly equals total costs, so the business makes neither profit nor loss.
Overhead
Overhead is the ongoing cost of running a business that is not tied directly to producing a specific product or service.
Put Fixed cost to work this week.
Knowing the term is step one. The Apex membership ships the systems, templates, and AI assistants that turn concepts like this into a running operation — done for you.