Profit / Unit
0.00
Net Margin
0%
Break-Even
0.00
Monthly Total
0.00
How to Use the Ecommerce Profit Calculator
Step 1: Select your Marketplace. This will auto-fill typical commission rates for platforms like Amazon or Flipkart.
Step 2: Enter your Selling Price (the price the customer pays) and your Product Cost (what you paid the wholesaler).
Step 3: Input Shipping and Packaging costs. Don't forget tape, labels, and boxes!
Step 4: Account for Marketing. If you spend money on Facebook or Amazon ads, divide your total spend by your number of orders to get the 'Ad Cost per Order'.
Step 5: Check the Returns %. If 1 in 10 customers returns a product, enter '10%'. This accounts for wasted shipping and damages.
Step 6: Review your Monthly Profit to see how your business scales with volume.
Why Every Seller Needs a Profit & Loss Calculator
In the world of online selling, Revenue is Vanity, Profit is Sanity. Many sellers see high sales numbers on their dashboard but wonder why their bank account is empty at the end of the month. The reason is usually "Hidden Costs."
Our global ecommerce calculator is designed to strip away the complexity of marketplace selling. Whether you are doing Dropshipping on Shopify, selling on Amazon FBA, or leveraging the reach of Meesho, understanding your net margin is the difference between a sustainable business and a failing one.
Understanding Inclusive Tax (GST/VAT)
One of the biggest mistakes new sellers make is calculating tax incorrectly. If you sell a product for 1000 and the GST is 18%, your tax is not 180. It is actually 152.54. This is because the tax is inclusive. Our tool uses the professional Tax = Price - (Price / (1 + Tax Rate)) formula to give you the exact numbers your accountant uses.
The "Hidden Killer": Return Logistics (RTO)
In regions like India and Southeast Asia, Return to Origin (RTO) and customer returns can be as high as 20-30%. When a product is returned, you lose your shipping cost, your packaging cost, and often the product is damaged. Our calculator factors in the Return Impact to show you a realistic profit margin that accounts for these inevitable losses.
Key Metrics Explained
- Net Profit per Unit: What actually goes into your pocket after every single expense is paid.
- Net Margin %: The efficiency of your product. A margin above 20% is generally considered healthy in ecommerce.
- Break-Even Price: The minimum price you must sell at to make ₹0 profit. Anything below this price means you are losing money on every sale.
Tips for Increasing Your Margins
If the calculator shows a low profit, consider these three strategies: 1. Optimize Packaging: Reducing the weight of your box can move you into a lower shipping slab. 2. Lower Your CAC: Improve your ad creative to get more orders for the same marketing spend. 3. Bundle Products: Selling two items together doubles the revenue but often only increases shipping costs by 20-30%.