Calculate margin, business profit, and break-even
Enter your own price, cost, revenue, and expenses to estimate profit per unit, gross and net profit, margins, and break-even units — updated live as you type.
Margin & markup
Enter a selling price and unit cost to see profit per unit, margin, and markup. All results are estimates based on the numbers you enter.
Business profit
Enter revenue, cost of goods sold, and operating expenses for a period to estimate gross and net profit for that period.
Break-even
Enter fixed costs, price, and variable cost per unit to estimate how many units you need to sell to cover fixed costs.
All outputs are estimates for planning only. They do not include taxes, fees, or other costs unless you include them in the numbers you enter.
About this tool
A product can sell every day and still lose money if the price, the unit cost, and the overhead underneath it are never worked out on paper. This Small Business Profit Calculator brings those three checks together in one place so an owner can test a price before committing to it. The margin and markup section shows what you keep from each sale and how that compares to what you added on top of cost — two numbers owners often confuse, with very different meanings when you negotiate a discount or a supplier raises prices. The business profit section rolls the same thinking up to a full period: enter revenue, cost of goods sold, and operating expenses to see gross profit, net profit, and the margin left after the bills that keep the doors open. The break-even section answers a plainer question: at this price and this variable cost, how many units must you sell just to cover fixed costs before any profit begins? Use it when you are pricing a new offer, checking whether a busy month was actually profitable, or deciding if a price increase needs to happen before you hire, expand, or take on more overhead.
Frequently asked questions
What is the difference between margin and markup?
Margin is profit divided by selling price, so it shows the share of each sale you keep. Markup is profit divided by cost, so it shows what you added on top of cost. The same sale gives two different percentages — a $50 price with a $30 cost is a 40% margin but a 66.67% markup — so check which one a supplier, lender, or partner means before you compare numbers.
What counts as cost of goods sold versus operating expenses?
Cost of goods sold is what it directly takes to deliver what you sold, such as materials, inventory, or direct labour for a job. Operating expenses are the costs of running the business around that work, such as rent, software, insurance, and marketing. Splitting them this way lets you see whether a weak result comes from pricing and delivery costs or from overhead.
How do I use the break-even result?
Break-even units is fixed costs divided by price minus variable cost per unit. It estimates how many units you must sell in a period to cover fixed costs, before profit. If that volume is higher than what you realistically sell, the levers are price, variable cost, or fixed costs — try each one in the calculator and compare the new break-even point.
Why does a busy business still show low net profit here?
Because gross profit only subtracts cost of goods sold. Once operating expenses such as rent, payroll not tied to a job, insurance, and tools are subtracted, net profit can be much smaller. That gap is exactly why this calculator shows both: it helps you see whether the fix belongs in pricing and delivery or in overhead.
Are these results exact accounting figures?
No. Every result is an estimate based only on the numbers you enter. Taxes, payment fees, returns, discounts, and costs you do not enter are not included unless you build them into your inputs. Use the results for pricing and planning decisions, and confirm final figures with your own records or accountant.