Profit Margin Calculator

Are you trying to set the right price for your products? Whether you're in eCommerce, retail, or manufacturing, knowing your profit margin is essential for maximizing revenue and maintaining profitability. Our Profit Margin Calculator helps you quickly determine your selling price, cost price, or margin percentage, ensuring your pricing strategy is on point.

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What Is a Profit Margin Calculator?

A Profit Margin Calculator is a financial tool used to calculate how much profit a business makes on a product, expressed as a percentage. It helps businesses ensure they are pricing products correctly by factoring in cost price, selling price, and profit margin.

Use this calculator to:


Find the ideal selling price based on cost and desired profit margin
Determine cost price if you already know the selling price and margin
Calculate profit margin percentage from the cost and selling price

Profit Margin Calculator

Calculate what a product should be sold for, based on the cost and the margin.

How to Use the Profit Margin Calculator



Step 1: Choose Your Calculation Mode

Select which value you want to calculate:

  • 📌 Selling Price – Determine the right price to sell at
  • 📌 Cost Price – Find out how much a product should cost
  • 📌 Profit Margin – Calculate the percentage of profit you're making


Step 2: Enter Your Values

- If calculating Selling Price, enter cost price and desired margin.

- If calculating Cost Price, enter selling price and desired margin.

- If calculating Profit Margin, enter selling price and cost price.



Step 3: Click "Calculate"

Instantly get the correct selling price, cost price, or margin percentage.



Profit Margin Formula Explained

📌 Selling Price Formula:

Selling Price = Cost Price 1 - Margin 100

📌 Cost Price Formula:

Cost Price = Selling Price × 1 - Margin 100

📌 Profit Margin Formula:

Profit Margin = Selling Price - Cost Price Selling Price × 100



Example Calculations

1. Finding Selling Price

A product costs $100, and you want a 25% margin.

Selling Price = 100 1 - 0.25 = 133.33

2. Finding Cost Price

You sell a product for $100 and want a 25% margin.

Cost Price = 100 × 1 - 0.25 = 75

How to Use the Profit Margin Calculator



Step 1: Choose Your Calculation Mode

Select which value you want to calculate:

  • 📌 Selling Price – Determine the right price to sell at
  • 📌 Cost Price – Find out how much a product should cost
  • 📌 Profit Margin – Calculate the percentage of profit you're making


Step 2: Enter Your Values

- If calculating Selling Price, enter cost price and desired margin.

- If calculating Cost Price, enter selling price and desired margin.

- If calculating Profit Margin, enter selling price and cost price.



Step 3: Click "Calculate"

Instantly get the correct selling price, cost price, or margin percentage.



Profit Margin Formula Explained

📌 Selling Price Formula:

Selling Price = Cost Price 1 - Margin 100

📌 Cost Price Formula:

Cost Price = Selling Price × 1 - Margin 100

📌 Profit Margin Formula:

Profit Margin = Selling Price - Cost Price Selling Price × 100



Example Calculations

1. Finding Selling Price

A product costs $100, and you want a 25% margin.

Selling Price = 100 1 - 0.25 = 133.33

2. Finding Cost Price

You sell a product for $100 and want a 25% margin.

Cost Price = 100 × 1 - 0.25 = 75

Overview

How to Automatically Add Product Margins in ArcSite

In the Web dashboard, you can set a global margin within the Takeoffs and Estimates settings:

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FAQs

What is a profit margin?

A profit margin is the percentage of revenue that remains as profit after subtracting costs.

How can ArcSite help with my product and service margins?

Inside the ArcSite app, you can set margins so all your pricing includes minimum profit margins so you always product estimates that make money.

What else can ArcSite do?

ArcSite helps you draw plans and apply products, so your estimates are ready as soon as the drawing is made. You can run your business all with ArcSite to furnish quotes, send out proposals, eSign, and take payments.