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Profit Margin Calculator — For Shopkeepers & Business

Calculate profit margin, markup, selling price and cost price instantly. Gross and net profit. Works offline.

Works offline Margin · Markup · Selling Price · Break Even
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Margin Table — Common Scenarios

Cost Price10% Margin20% Margin30% Margin50% MarginProfit at 20%

Key Formulas

Profit Margin %
(Profit ÷ Selling Price) × 100
What % of your selling price is profit. Industry standard measurement.
Markup %
(Profit ÷ Cost Price) × 100
How much above cost you are selling. 20% margin ≠ 20% markup.
Selling Price from Margin
Cost ÷ (1 − Margin%/100)
To get 30% margin on cost of ₹700: 700 ÷ 0.7 = ₹1000
Selling Price from Markup
Cost × (1 + Markup%/100)
30% markup on ₹700: 700 × 1.3 = ₹910

Margin vs Markup — What is the Difference?

Profit Margin is calculated on the selling price. If you buy for ₹800 and sell for ₹1000, your profit is ₹200 and your margin is 20% (200÷1000). This is how most businesses and investors measure profitability.

Markup is calculated on the cost price. The same example — ₹200 profit on ₹800 cost — gives a markup of 25% (200÷800). Retailers often use markup when pricing products.

Common Indian retail margins: Grocery stores: 5-15%. Electronics: 10-20%. Clothing: 30-50%. Restaurants: 60-70% on food cost. Pharmacy: 15-25%.

GST Note: Your margin calculation should ideally be done on the ex-GST price. If you charge GST to customers, the selling price includes GST — your actual margin is calculated on the base price before GST.

Kaise use karein

  1. Cost price aur selling price enter karein.
  2. Markup aur profit margin instantly calculate hoga.
  3. Break-even units bhi calculate kar sakte hain.

Privacy & security

Markup aur margin alag cheezein hain — 40% markup 40% margin nahi hota. Yeh confusion se ghate mein business chala sakte hain. Dono correctly calculate karein.

Common use cases

Dukan, wholesale, online selling, service business — pricing decide karne se pehle actual margin aur markup accurately calculate karein.

Frequently Asked Questions

What is a good profit margin in India?
It depends heavily on the industry. Grocery and FMCG retail: 5-15%. Electronics and mobile phones: 10-20%. Clothing and fashion: 30-60%. Restaurants: 60-70% on food cost (but overall net profit is 10-15% after expenses). Services like consulting: 50-80%. A healthy net profit margin (after all expenses) of 10-20% is considered good for most small businesses.
Why is 20% margin not the same as 20% markup?
Margin and markup use different bases. Margin is (profit ÷ selling price) × 100. Markup is (profit ÷ cost price) × 100. Example: Cost ₹800, Sell ₹1000, Profit ₹200. Margin = 200÷1000 = 20%. Markup = 200÷800 = 25%. To get a 20% margin, you need a 25% markup on cost. This calculator handles both.
Should I include GST when calculating margin?
No. Calculate margin on the base price excluding GST. If your product costs ₹800 and you sell at ₹1180 (₹1000 + 18% GST), your selling price for margin calculation is ₹1000, not ₹1180. The GST collected goes to the government — it is not your revenue.

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