⚖️ Margin vs. Markup

Compare your profit metrics to ensure your business pricing is sustainable.

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*Selling price must be higher than cost to calculate profit.

📖 Business 101: Why a 25% Markup is NOT a 25% Margin
Enter cost and selling price to see the comparison.
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The Vital Difference

Understanding the formulas helps you avoid pricing errors:

Markup
(Profit / Cost) × 100
Margin
(Profit / Revenue) × 100

If you buy an item for $100.00 and sell it for $125.00, your markup is 25% but your margin is only 20%.