Sales Price Calculator
Calculate how much to sell for to ensure the desired margin.
The pricing trap
Small business owners make a big mistake when setting prices. The common mistake: 'My cost is 100 reais, I want a 30% margin. So I will take 100, add 30%, and sell for 130!'This is wrong!
The Correct Mathematics
Remember the lesson: The Profit Margin is calculated by looking \"top down\", that is, from the Sale Price towards the Cost. If you sell for 130 reais and the cost was 100, your profit of 30 reais represents only23%of the final price margin (30 divided by 130).
For you to have **30% real margin** on a product that costs R$ 100, the calculation behind the scenes is more complex:Cost / (1 - Margin). In this case, 100 / 0.70. The selling price should beR$ 142.85Let our calculator above worry about the complex calculations!