Enter your cost and price to see profit, margin and markup instantly — or work out the price to hit a target margin.
Gross profit
£0.00
Profit margin
0.0%
Markup
0.0%
Sell at
£0.00
Margin is profit as a percentage of the sale price; markup is profit as a percentage of the cost. A £40 profit on a £100 sale is a 40% margin but a 66.7% markup — same money, two different numbers.
Two ways to express the same profit — knowing both helps you price with confidence.
Profit as a percentage of the sale price: (price − cost) ÷ price. A £40 profit on a £100 sale is a 40% margin.
Profit as a percentage of the cost: (price − cost) ÷ cost. A £40 profit on a £60 cost is a 66.7% markup.
Decide the margin you need to cover overheads and profit, then set the price to hit it: cost ÷ (1 − margin).
Margin is profit measured against the sale price, while markup is profit measured against the cost. The same £40 profit is a 40% margin on a £100 sale but a 66.7% markup on a £60 cost.
Subtract the cost from the sale price to get the gross profit, then divide by the sale price and multiply by 100. For example, (£100 − £60) ÷ £100 = 40% margin.
Divide your cost by (1 − the margin as a decimal). To make 50% margin on a £60 item, charge £60 ÷ (1 − 0.5) = £120.
It varies widely by industry — retail often runs on thin margins while services can be much higher. This tool shows gross margin (before overheads); track net margin in your accounts to see true profitability.
Neetrix tracks cost, price and profit across every product and job, with live profitability dashboards — so you always know what’s actually making you money.