How to calculate reseller profit after fees
DigitalMakr · Practical planning guide
Start with actual revenue
Record the sale price plus shipping charged to the buyer, excluding sales tax collected on behalf of a tax authority.
Subtract every selling cost
Subtract inventory cost, platform fees, payment fees, postage, packaging and refunds. A $40 sale with $12 inventory, $5 fees, $6 shipping and $1 packaging leaves $16 before overhead and taxes.
Track margin and cash separately
Profit margin is profit divided by revenue. Track unsold inventory and monthly overhead separately so you know how much cash is tied up.