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.

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:

   

PROFITS PLUS, FOUNDER OF...

 

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

(727)823-7205

JULY 2026
Have the Small Business Advisories and News sent to your inbox. Subscribe HERE

Small Business

AdvisoriES


The July Advisory pushes further into the skill of being a masterful salesperson. In your small business, do you have salespeople or just people that take orders and ring up sales?

Small Business

NewS

Top Story

It is Independent Retailer Month celebrating the 24th year. We'll invite you to read the newsletter to know why we created the event as well as understand the information we share that makes your small business important for your community.

 

The news also shares a story that gives a very positive outlook for small businesses.

Article of the Month

Interesting how one personal experience can teach you much about small business. This month's article started with wandering into a small shop and purchasing a bar of soap.


Book of the Month

The Advisory for July is about masterful selling and the book of the month follows suit with Brian Tracy's, "The Psychology of Selling."

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

The July Advisory pushes further into the skill of being a masterful salesperson. In your small business, do you have salespeople or just people that take orders and ring up sales?

Small Business

News

 

Top Story

It is Independent Retailer Month celebrating the 24th year. We'll invite you to read the newsletter to know why we created the event as well as understand the information we share that makes your small business important for your community.

 

The news also shares a story that gives a very positive outlook for small businesses.


Article of the Month

Interesting how one personal experience can teach you much about small business. This month's article started with wandering into a small shop and purchasing a bar of soap.


Book of the Month

The Advisory for July is about masterful selling and the book of the month follows suit with Brian Tracy's, "The Psychology of Selling."

 

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