I want a fixed profit of 20 per piece rather than a percentage; how do I get the price?

Why the workaround works

The Selling-price calculator treats everything in fixed fees as an amount the price must cover. Put 20 there to stand for your profit, set the margin to zero, and the tool finds the price that covers cost, shipping, percentage fees and that 20. The 'fee' the price covers is really your profit.

The steps

1. Enter the product cost and the shipping you pay.
2. In fixed fees, type the profit you want plus any real fixed fee you pay.
3. Enter the percentage fees as usual.
4. Type 0 as the target margin and read the price.

Do not be thrown by 'break-even'

The tool will show a note that this is the break-even price and that profit is zero. That is expected, because it counts the 20 as a cost. Your real profit is what you put in fixed fees. If you want to see it as a percentage, it is about 21.18% of the price here.

When a fixed profit makes sense

A fixed profit suits products that take similar effort and service but differ in cost. Take a second product costing 150 with the same inputs: with a fixed profit of 20 its price is 205.56, so your profit is under 10% of the price. Apply the same 21.18% margin as the first product instead, and it comes out at 239.76 with a profit of 50.78.

• A fixed profit keeps expensive items competitive, but it means risking more money on each costly piece for the same reward.
• A percentage margin makes the expensive item carry more profit, which makes sense when more capital is tied up in it or a return would hurt more.
• Choose based on your range, and try both methods in the calculator before deciding.

To check the profit on any final price you pick, enter costs plus fees and the price in the Profit margin calculator.