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With over 25 years of frontline experience Tom Shay is America's leading small business management expert. He's a "Must Have" for your next event.

What it takes to make a profit calculator from Profits Plus

Small businesses often have a challenge of getting staff to understand the challenges of profitably operating a business. Too often the staff thinks that you simply double the cost of everything you buy, have some minimal expenses and then put the rest in your pocket. If only it were that easy.

This calculator is provided to help you illustrate to your staff just what it takes to operate a business. Without sharing specific numbers, this calculator asks you to input several numbers from the operating expense part of your income statement and the maintained margin which also comes from your income statement.

After inputting that information, pick an example item from your business and input the selling price. The calculator will then show how much of the sale of that item goes to each of the categories of expense and how much is profit. This calculator provides a great illustration, using your business, to show that it is quite a challenge to profitably operate a small business.


What it takes to make a profit calculator from Profits Plus
Our maintained gross margin is:
As a percentage of sales, our occupancy costs are:
As a percentage of sales, our staffing costs are:
As a percentage of sales, our advertising costs are:
As a percentage of sales, other operating expenses are:
As a percentage of sales, our total operating expenses are:
As a percentage of sales, our taxes are:
When an item sells for this amount, here is where the money goes:
Pay for the item:
Occupancy costs:
Staffing costs:
Advertising costs:
Other operating expenses are:
Our taxes are:
Our net profit is:

   

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©1998-2026 Profits Plus Solutions, Inc.
Tom Shay
PO Box 128
Dardanelle, AR 72834

(727)823-7205

OCTOBER 2026
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Small Business

AdvisoriES


Healthy, Wealthy, and Wise. It may be the last part of a saying dealing with going to bed early and getting up early. It is also the title of this month's advisory. We are going to look at five tests you can perform on your business along with several calculations you can perform on your business to determine how well the business is performing.


Small Business

NewS

Top Story

Continually, I am baffled by small businesses that fail to ask for customers for their business. The example for October is service businesses that deal with their customers on a monthly, quarterly, semi-annual, or annual business.

 

I don't understand why they tell customers to call when they are ready for the next service.

Article of the Month

It is just a tool. We are talking about money. The October article tells the story of several small businesses that make a big difference in their community. These are heart warming stories of making money and using that money in some unique ways.


Book of the Month

How about an uplifting book to start the last quarter of the year? Big Magic: Creative Living Beyond Fear by Elizabeth Gilbert can give you that boost in both your personal life and in your business.

All this plus the Internet Tool for Your Business and a staff incentive idea for your business.

BOOK US

With over 25 years of frontline experience Tom Shay is America's leading Small Business Management Expert. He's a "Must Have" for your next event.

Small Business

Advisories

Healthy, Wealthy, and Wise. It may be the last part of a saying dealing with going to bed early and getting up early. It is also the title of this month's advisory. We are going to look at five tests you can perform on your business along with several calculations you can perform on your business to determine how well the business is performing.

Small Business

News

 

Top Story

Continually, I am baffled by small businesses that fail to ask for customers for their business. The example for October is service businesses that deal with their customers on a monthly, quarterly, semi-annual, or annual business.

 

I don't understand why they tell customers to call when they are ready for the next service.


Article of the Month

It is just a tool. We are talking about money. The October article tells the story of several small businesses that make a big difference in their community. These are heart warming stories of making money and using that money in some unique ways.


Book of the Month

How about an uplifting book to start the last quarter of the year? Big Magic: Creative Living Beyond Fear by Elizabeth Gilbert can give you that boost in both your personal life and in your business.

 

All this plus the Internet Tool for Your Business and a staff incentive idea for your business.