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Free business calculator

Profit Margin CalculatorMake the numbers clearer.

Understand the difference between margin and markup. Include a percentage selling fee and calculate a price for a chosen target margin.

Build your estimate

Enter your figures.

All currency amounts are in USD. Complete each number field; use zero where appropriate. Example values are illustrative.

Use a positive price, before sales tax collected for authorities.
Include direct costs and fixed per-sale fees; do not include the percentage fee twice.
A fee charged on selling price, such as a processing or platform percentage.
Target margin plus selling-fee percentage must be below 100%.

Your figures are calculated in this page. This tool does not send or save your inputs.

How the estimate works

Understand the assumptions.

Unit profit = selling price − direct unit cost − (price × selling-fee rate). Margin = profit ÷ price. Markup = profit ÷ direct unit cost. Target price = direct unit cost ÷ (1 − target margin − selling-fee rate).

This is unit contribution after entered selling fees, not net business profit. Overhead, financing, taxes, refunds, and sales-volume changes are excluded. Markup is undefined when direct unit cost is zero.

Helpful answers

Before you use the result.

Use the estimate as a starting point for a conversation about your business.

Why is markup different from margin?

They use different denominators. Margin compares profit with selling price; markup compares profit with entered unit cost.

Can the result be negative?

Yes. If entered costs and selling fees exceed price, the tool shows the loss per unit and a negative margin.

Are my figures stored or submitted?

No. This calculator runs in your browser and does not save or submit the numbers. Booking and contact forms are separate services.

Put the estimate in context

Talk through your next step.

Bring your questions to a free consultation. We can discuss the information needed for a more detailed review.

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