One of the most important aspects of building a long-term, sustainable business is knowing how to generate enough profit to survive and how to generate the amount of profit that will get you to your long term goals. This calculator is designed to help you do just that.
This calculator makes some assumptions, so you want to make sure that you are using this as a rough guide. You should have an accountant or bookkeeper run your actual numbers to make sure you are profiting the amount you need to survive. This calculator assumes that, on average, about 33% of your gross sales will go towards Amazon fees. It also assumes that you will have a 4-6 week turn rate. If you are consistently holding inventory longer than that your cost of products will be higher.
To use this tool simply enter your average ROI and the monthly amount of profit you would like to earn. The calculator will give you an estimated monthly gross sales target and an estimate of how much you will need to invest in products at that ROI to attain your profit goal.
Advanced Tip- Add up your total monthly expenses, or burn rate, and add that amount to your Profit Goal to see how much you need to spend to pay for all of your business and personal expenses.
*This calculator is designed to be an informational and educational tool only, and do not constitutebusiness advice. We strongly recommend that you seek the advice of a financial services professional before making any type of business decision. We also encourage you to review your buying strategy periodically as your ROI and Amazon fees circumstances change. This model is provided as a rough approximation of future Amazon sales performance. The results presented by this calculator are hypothetical and may not reflect the actual growth of your own business. Robyn’s Nest Resale and Best From the Nest and its affiliates are not responsible for the consequences of any decisions or actions taken in reliance upon or as a result of the information provided by these tools. Robyn’s Nest and Best from the Nest is not responsible for any human or mechanical errors or omissions.