“We made $100,000 in sales.”

“We made $100,000 in sales.”

Sounds good.

But how much of that is left after the cost of goods?

If it cost $80,000 to produce or purchase those products, $100,000 in revenue does not mean you made $100,000. One of the metrics that helps you understand the economics of your product is gross margin.It shows how much of your revenue remains after covering the direct costs of delivering a product or service.

With WlasnaSprawa, you can calculate your gross margin and see how your business results change depending on:

— pricing;

— sales volume;

— cost of goods;

— your product mix.

This is especially useful when you want to understand which products are actually contributing to your business’s financial performance. Because high revenue alone doesn’t answer the question: “How much are we actually making?”

Have you calculated your gross margin yet?

Try it in WlasnaSprawa

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