About This Calculator
Use our free profit margin calculator to instantly calculate your gross profit, profit margin percentage, and markup for any product or service. Essential for small business owners, freelancers, and entrepreneurs who need to price their products correctly.
All calculations are performed instantly in your browser — no sign-up, no ads blocking your results, completely free to use.
Frequently Asked Questions
What is a good profit margin?+
A good profit margin varies by industry. Retail averages 2–5%, restaurants 3–9%, SaaS/software 15–30%, and service businesses 15–25%. Higher is always better.
What is the difference between margin and markup?+
Profit margin is profit as a percentage of revenue. Markup is profit as a percentage of cost. A 50% markup on a $10 cost item = $15 selling price = 33% profit margin.
How do I calculate gross profit margin?+
Gross Profit Margin = (Revenue - Cost) ÷ Revenue × 100. Example: Revenue $1,000, Cost $600 → Profit $400 → Margin = 40%.
What is a 30% profit margin?+
A 30% profit margin means for every $100 in revenue, $30 is profit and $70 is costs. This is considered a strong margin in most industries.
profit margin calculator, gross profit calculator, how to calculate profit margin, markup calculator, profit calculator business, margin vs markup