Business Growth Calculator

	Business Growth Calculator


The Business Growth Calculator is designed to calculate the change to the gross profit of a business arising from altering any or all of: the number of customers the average number of times they purchase the average amount they spend, and/or the average gross profit percentage

	Current	% increase you would like	Result
Customer Count (This is the number of customers that you have)		%
Transactions frequency (This is the number of times each year that customers buy from you)		%
Average Sale value (This is the average value of each sale you make)		%
Average Gross margin % (This is the average margin you make on sales. See note below)		%	%

Are you vat registered? (This applies to the UK only)

Based on the above, your Current Gross Sales figure is		£ per year
If you are unsure about the customer numbers, frequency and average sale value, then try other combinations until you arrive at a total sales value that is correct.		£ per year

NOTE: Gross Margin Example -If you buy at £60 and sell at £100, the margin is £40 = on sales of £100 the margin is 40%

Result

Your existing income is made up of

Customers x Frequency x Average sale

After VAT this is:

£ total net sales

If you increase the number of customers by only

your net sales are changed to

If you increase the frequency of transactions by only

your net sales are changed to

If you increase the average sale value by only

your net sales are changed to

If you increase all the above together

your net sales are changed to

(an increase of)

AND if you change your gross margin to %

and increase all the above together, then the profit contribution to overheads is increased by £

Important: The results from this calculator should be used as a guide only, and it is strongly advised that you should consult an experienced or qualified accountant or financial/business adviser before making any decisions.

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