Free Break-Even CPA Calculator — Know Your Max Cost Per Lead
Enter your average sale value, gross margin, and lead-to-customer close rate. We calculate the most you can pay for a lead and for a customer before ads stop making money.
Fill in all three fields to see the most you can pay per lead and per customer.
This uses first-sale economics only — customer lifetime value raises the real ceiling (see our LTV calculator). Want us to hit these numbers for you?
Common questions
What is a break-even CPA?
Break-even CPA (cost per acquisition) is the most you can spend to win one customer without losing money on the first sale. It equals your gross profit on an average sale: average sale value multiplied by gross margin. Pay more than that per customer and each new sale costs you money.
How do I turn break-even CPA into a maximum cost per lead?
Multiply your break-even CPA by your close rate. If your break-even CPA is $210 and one in four leads becomes a customer (25%), a lead is worth at most $52.50. Your actual cost per lead needs to sit below that for campaigns to be profitable.
Should I aim to pay exactly my break-even CPA?
No — break-even is a ceiling, not a target. Acquiring customers below break-even is where profit comes from. The exception is when customers come back: if repeat purchases are common, lifetime value can justify paying near (or even above) the first-sale break-even.
Want us to hit these numbers for you?
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