# Thread: Marketplace Profit Calculator - Calculating Variable Costs Thanks: 0 Likes:  1 Post #5171396 (1)

1. ## Marketplace Profit Calculator - Calculating Variable Costs

I'm looking for help regarding calculating profit margins when selling on marketplaces Amazon

I'd like to know if it would be possible to set the profit margin to eg. 20% and work backwards from there; have excel
calculate what my selling price should be to make the 20%?

Fixed Expenses: Amazon fees 15% on Retail Price Set+VAT on Retail Price 20%+Post and Packing £2.30

Any help would be most appreciated, thanks.

Hiten  Reply With Quote

2. ## Re: Marketplace Profit Calculator - Calculating Variable Costs

 A B C 1 Amazon fee 15.00% B1: Input 2 VAT 16.67% B2: Input 3 Margin 20.00% B3: Input 4 Post & Packing \$2.30 B4: Input 5 Cost \$10.00 B5: Input 6 Sell \$25.45 B6: =(B5 + B4) / (1 - SUM(B1:B3)) 7 8 Check: 9 Amazon takes \$3.82 B9: =B1 * B6 10 Taxes take \$4.24 B10: =B2 * B6 11 Post & package \$2.30 B11: =B4 12 You get \$15.09 B12: =B6 - SUM(B9:B11) 13 Profit \$5.09 B13: =B12 - B5 14 Margin 20.00% B14: =B13 / B6  Reply With Quote

3. ## Re: Marketplace Profit Calculator - Calculating Variable Costs

Great, Many thanks shg

Would you have the same for eBay?

Regards,
Hiten  Reply With Quote

4. ## Re: Marketplace Profit Calculator - Calculating Variable Costs

I don't have any information for eBay. I didn't have any information for Amazon until you posted it.  Reply With Quote

5. ## Re: Marketplace Profit Calculator - Calculating Variable Costs

I will try to input the eBay data and see if that works else I will let you know the requirements.

Once again, many thanks,

Regards,
Hiten  Reply With Quote

6. ## Re: Marketplace Profit Calculator - Calculating Variable Costs

You're welcome.  Reply With Quote

7. ## Re: Marketplace Profit Calculator - Calculating Variable Costs

Hi shg,

There is one more bit on eBay, if you could help!

eg. eBay fees - 10% of selling price, PayPal fees - 0.05% of selling price, VAT - 20%, Margin 20%, Post & Packing - £2.30

How to find selling price, as I was unable to add & calculate the PayPal fees on the spreadsheet

Regards,
Hiten  Reply With Quote

8. ## Re: Marketplace Profit Calculator - Calculating Variable Costs

Hi shg,

Apolgoies!

There is one more bit on eBay, if you could help!

eg. eBay fees - 10% of selling price,
eg. when selling price is Â£11.65, PayPay charges is 0.42 - when I try to convert in percentage and then do a check it does not give me the right figure.
VAT - 20%,
Margin 20%,
Post & Packing - Â£2.30

How to find selling price, as I was unable to add & calculate the PayPal fees on the spreadsheet

Regards,
Hiten  Reply With Quote

9. ## Re: Marketplace Profit Calculator - Calculating Variable Costs

eg. eBay fees - 10% of selling price,
eg. when selling price is Â£11.65, PayPay charges is 0.42
I get the 10% eBay fee.

In the US, PayPal charges a percentage plus a fixed fee (2.9% + \$0.30). What is it for you?  Reply With Quote

10. ## Re: Marketplace Profit Calculator - Calculating Variable Costs

I'll let you plug in the numbers:

 A B C 1 Sell-Based Percentages 2 eBay 15.00% B2: Input 3 VAT 16.67% B3: Input 4 PayPal 2.90% B4: Input 5 Margin 20.00% B5: Input 6 Fixed Costs 7 Post & Packing \$2.30 B7: Input 8 PayPal \$0.30 B8: Input 9 Cost 10 Direct Cost \$10.00 B10: Input 11 12 Sell Price \$27.73 B12: =(B10 + SUM(B7:B8)) / (1 - SUM(B2:B5)) 13 14 Check: 15 eBay \$4.16 B15: =B2 * B12 16 VAT \$4.62 B16: =B3 * B12 17 PayPal (variable) \$0.80 B17: =B4 * B12 18 Post & Packing \$2.30 B18: =B7 19 PayPal (fixed) \$0.30 B19: =B8 20 Your Net \$15.55 B20: =B12 - SUM(B15:B19) 21 Profit \$5.55 B21: =B20 - B10 22 Margin 20.00% B22: =B21 / B12  Reply With Quote

## User Tag List

20%, price, profit, retail, selling 