Shop lot in Kuala Lumpur and Selangor, MCE Malaysia Commercial Expert

Free calculator · 2026 rates

Rent affordability and break-even calculator

Check whether a shop rent fits your sales before you sign.

Monthly rentRMShop sizesq ft

Your businessExpected monthly salesRM

Monthly staff costRMOther fixed costs a monthRMUtilities, service charge, marketing, loan on fit-out

Gross margin after cost of goods%F&B often around 60% to 70%; retail varies widely. Use your own figure.Target rent as % of sales%A common rule of thumb is about 10% to 15%; it varies by trade and brand.

Can the business carry this rent?

Rent as % of sales: 10.0%
Break-even salesSales needed to cover rent, staff and other fixed costs: RM 100,000/month
Sales needed at your target ratio: RM 150,000/month
Highest rent at your target ratio: RM 15,000/month
Rent per sq ft: RM 6.00
Estimated monthly operating surplusBefore tax, depreciation and fit-out payback: RM 30,000

What does this mean?

The rent sits within your target share of sales.

This is a planning estimate, not a sales forecast. Compare the rent with typical hub rents, or ask MCE for free location advice for your trade.

For reference only, not legal, tax or financial advice. Rates can change; confirm with your lawyer, bank, tax adviser or LHDN before you sign or pay.

Formula

How it works

Rent per sq ft = monthly rent ÷ size
Rent as % of sales = monthly rent ÷ monthly sales
Break-even sales = (rent + staff + other fixed costs) ÷ gross margin
Highest rent at target = monthly sales × target %

Worked example

A café expects RM 150,000 sales a month, 60% gross margin, RM 30,000 staff and RM 15,000 other fixed costs, looking at a 2,500 sq ft shop for RM 15,000: rent is 10.0% of sales and RM 6.00 per sq ft, break-even is RM 100,000 a month, and the operating surplus is about RM 30,000.

FAQ

Frequently asked questions

What percentage of sales should rent be?

A common rule of thumb is about 10% to 15% of sales, but it varies by trade and brand. Prime locations can justify a higher share if they lift sales; set your own target in the calculator.

How much sales do I need for RM 15,000 rent?

At a 10% rent-to-sales target you need about RM 150,000 a month. Break-even also depends on staff and other fixed costs and your gross margin, which the calculator includes.

Is a more expensive shop always more profitable?

No. A higher rent only pays if the location brings enough extra sales. Compare break-even sales for each shop, and score both sites with the site scorecard.

What is break-even sales?

The monthly sales at which your gross profit covers rent, staff and other fixed costs. Below it you lose money; above it you make an operating surplus.

Related guides

Other calculators

Want the numbers for a real shop?

Send us the unit or the area you are looking at. We will share the asking rent or price, recent comparables and what tenants in that hub usually pay.

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