Business · official-source review · reviewed 2026-10-10
Check a Price Raise Against Customer Loss
A price raise can win or lose money, and the deciding number is the customers who stay.
What this guide helps you do
Turn a current price, a raise percent, and an expected customer loss into the break-even customer count.
Who this guide is for
Anyone setting prices for a small business, freelance practice, or service.
Use the source document or official route that applies to your situation. This guide does not contact another person or verify external information.
Steps
List the current price
Write the price you charge today for one unit, hour, or project.
Set the raise
Write the raise as a percent. Check the prices of three comparable providers first.
Estimate the customer loss
Estimate the share of customers who will leave. Use past changes if you have them.
Compare the break-even count
Compare the break-even count with the customers you expect to keep.
Decide and announce
Decide the raise after you check both. Announce it to existing customers early.
Worked example
You raise a $50.00 price by 10 percent and expect to lose 5 percent of 40 customers. The new revenue beats the old one, and the break-even count is 36.4 customers.
Use your own source and details. The example is not a record about a real person or organization.
U.S. Small Business Administration · reviewed 2026-10-10
What this source supports: Freelance rates must cover taxes, expenses, downtime, and profit, not just desired take-home pay.
Source limit: This computes a floor rate; market rates in your field may differ.
These sources support the statements above. They do not show that every person needs this guide. They do not show a specific result.
Limits
This guide compares two revenue scenarios from your own numbers. It does not predict customer behavior.
This computes a floor rate; market rates in your field may differ.
Use current instructions from the responsible organization. This guide is a planning aid, not an official decision or a substitute for qualified advice.
Common questions
What does the App compute?
Turn a current price, a raise percent, and an expected customer loss into the break-even customer count.
What does the App not do?
This App compares two revenue scenarios from the numbers you enter. It does not predict customer behavior.
Where do the numbers come from?
You enter every number yourself. The sources support the method and the limits. They do not produce a result for your specific case. Keep the original documents next to the sheet you build.
Before you start
Open the linked source page and keep it beside you.
Gather the values the App asks for:
Current price per unit in dollars.
Price raise in percent.
Customers expected to leave in percent.
Customers in one period.
Set aside ten quiet minutes; rushed numbers are the main error this guide prevents.
Free Companion App
The App computes the worked example with your own numbers, in your browser.
APP 1
Price-Raise Break-Even Check
Turn a current price, a raise percent, and an expected customer loss into the break-even customer count.
This guide is edited for clarity and checked against the sources it links. It is not a substitute for official instructions or qualified advice. A linked source does not show that every person needs this guide.