CEA ROI Calculator

CEA ROI Calculator

Estimate annual revenue, operating costs, payback period, and 10-year profit for your controlled environment agriculture operation — indoor farm, vertical greenhouse, or cannabis facility. Planning a commercial build? Talk to our commercial team.

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CEA ROI Calculator

Enter your facility details, costs, and revenue targets. Use the Yield Mode toggle to input yield by area or by harvest. Expand Financing for loan modeling.

Quick Start Preset (Optional)

Facility & Yield

Capital Expenses (CapEx)

Annual Operating Expenses (OpEx)

+ Financing (Optional — model a business loan)
% (0 = no loan)
Scenario:
i Conservative: −20% yield, +10% costs. Moderate: your inputs as entered. Optimistic: +15% yield, −5% costs. Stress-test your plan before committing capital.
How to use this calculator
  1. Choose a preset or start from scratch with your own numbers.
  2. Select Yield Mode: "By Area" uses lb/sq ft/harvest; "By Harvest" takes a total per-cycle weight.
  3. Enter your CapEx — total setup cost, expected lifespan, and salvage value.
  4. Fill in OpEx — electricity, labor, nutrients, rent, and other annual costs. Use our Electricity Calculator for an accurate energy number.
  5. Optional: Expand the Financing section if you're modeling a business loan.
  6. Select a scenario (Conservative / Moderate / Optimistic) to stress-test your plan.
  7. Click Calculate ROI — review all 8 output metrics and open the 10-year chart.

Formula: Annual Revenue = lbs/yr × price per lb  ·  Net = Revenue − (OpEx + annualized CapEx)  ·  Payback = CapEx ÷ Annual Net (pre-amortization)

📈 10-Year Revenue vs. Cost Projection Chart ▾
Cumulative Revenue
Cumulative Costs
Cumulative Net Profit

Click Calculate ROI above to populate the 10-year projection chart. The chart shows cumulative revenue, costs, and net profit over 10 years — including the break-even point where cumulative profit turns positive.

CEA Quick Reference — Benchmarks by Operation Type

Industry benchmarks for common CEA operation types. Actual results vary widely by market, crop, and operational efficiency.
Operation Type Typical Canopy Cycles / Year Yield / sq ft / yr CapEx / sq ft Target Payback
Small Indoor Leafy Greens 200–1,000 sq ft 6–9 4–8 lb (fresh weight) $50–$150 2–4 years
Cannabis Flower Room 500–5,000 sq ft 4–6 35–70 g/sq ft $150–$400 2–5 years
Vertical Farm (multi-tier) 2,000–20,000 sq ft (footprint) 8–12 20–60 lb/sq ft (all tiers) $300–$800 4–8 years
Greenhouse Tomatoes / Cucumbers 5,000–50,000 sq ft 2–4 30–60 lb/sq ft $20–$80 3–6 years
Microgreens (indoor) 100–500 sq ft 20–26 15–30 lb/sq ft $30–$100 1–3 years

Frequently Asked Questions

What is a good ROI for a CEA operation?
A well-run indoor farm typically targets a 3–5 year payback period and 20–40% net margin at scale. ROI varies significantly by crop, market (wholesale vs. direct), location, and energy costs. Leafy greens in high-cost urban markets often achieve the strongest margins; cannabis operations have higher revenue potential but also higher regulatory and capital costs.

How do I calculate CEA operating costs accurately?
CEA operating costs include electricity (25–40% of OpEx), labor (20–35%), nutrients and media (5–15%), water, HVAC maintenance, packaging, and overhead. Use your local utility rate and actual fixture wattage for the most accurate electricity estimate — our Electricity Calculator makes this easy. Build in a 10–15% contingency on OpEx for your first year.

What is a realistic yield per square foot for indoor farming?
Yields vary widely by crop: leafy greens and herbs in vertical systems can reach 25–50+ lb/sq ft/year with fast cycling; cannabis in optimized flowering rooms typically yields 50–80 grams per sq ft per harvest (4–6 harvests/year); tomatoes and cucumbers in greenhouse settings produce 30–60 lb/sq ft/year. This calculator accepts your actual expected yield rather than assuming a default — which is why accurate trial data from a pilot run is invaluable before scaling.

Should I use wholesale or retail pricing in my CEA ROI model?
Model both scenarios. Retail or direct-to-consumer pricing is 2–4× wholesale but requires sales infrastructure and volume caps. Most operations blend channels: a base of wholesale/distributor volume topped with higher-margin direct sales. For initial planning, using a blended price 15–25% above your expected wholesale floor is a reasonable conservative assumption — and always stress-test with the Conservative scenario toggle.

How does financing affect my CEA payback period?
Financing increases annual costs during the repayment window (annual debt service is added to OpEx), which extends payback period — but it also means you invest less equity upfront, improving cash-on-cash return on your equity. Use the Financing section to model exactly how a loan at a given rate and term changes your Year 1–7 cost structure vs. full cash purchase. Many operators find that financing 60–75% of CapEx at sub-10% rates is favorable if revenue projections are solid.

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