Subscription Fee: A fixed monthly cost for your Shopify plan. Spread across all units sold, this cost per unit decreases as volume increases.
Payment Processing: Shopify Payments charges a percentage + flat fee per transaction. Rates decrease with higher plans (2.9% on Basic vs 2.5% on Advanced).
Transaction Fee: If you use a third-party payment processor instead of Shopify Payments, Shopify charges an additional transaction fee (2% on Basic, 0.6% on Advanced).
Break-Even: The minimum number of units you need to sell per month to cover all fixed costs (subscription + additional monthly expenses) after variable costs.
Profit/Unit = Price - COGS - Shipping - Processing Fee - (Plan Cost / Units)
Break-Even = Fixed Costs / (Price - Variable Costs per Unit)