T
TinyBizTools

Wholesale Price Calculator

Calculate wholesale price from unit cost and profit margin. See profit per unit, suggested retail, and markup — free.

$
%
📦

Ready to calculate

Enter your unit cost and desired profit margin to see your wholesale price.

How to Use This Wholesale Price Calculator

  1. Enter your unit cost — the total cost to produce or purchase one unit (materials, labor, overhead).
  2. Enter your desired profit margin % — the percentage of the wholesale price that should be profit (0 to 99.99%).
  3. See your results instantly — wholesale price, profit per unit, suggested retail (keystone 2x), and effective markup %.

The calculator auto-calculates as you type. Adjust the margin to see how it affects your pricing in real time.

The Formula

Wholesale Price from Cost and Margin:

Wholesale Price = Unit Cost / (1 - Margin% / 100)
Profit per Unit = Wholesale Price - Unit Cost
Suggested Retail = 2 x Wholesale Price (keystone)
Effective Markup % = (Profit / Cost) x 100

Example: Your unit cost is $12 and you want a 40% profit margin:

  • Wholesale Price = $12 / (1 - 0.40) = $12 / 0.60 = $20.00
  • Profit per Unit = $20 - $12 = $8.00
  • Suggested Retail = 2 x $20 = $40.00
  • Effective Markup = ($8 / $12) x 100 = 66.67%

Typical Wholesale Margins by Industry

IndustryTypical Wholesale MarginEquivalent Markup
Food & beverage25–35%33–54%
Apparel & fashion30–50%43–100%
Electronics & accessories15–25%18–33%
Beauty & cosmetics40–60%67–150%
Home goods & decor30–50%43–100%
Handmade & artisan50–70%100–233%
Pet products35–50%54–100%

Key rule: Your wholesale margin must cover all costs and deliver a profit. If your margin is too thin, a single returned order or shipping error can wipe out the profit from multiple sales.

Frequently Asked Questions

What is a wholesale price?
A wholesale price is the price at which you sell goods in bulk to retailers or distributors, rather than directly to end consumers. It sits between your production cost and the retail price. Wholesale pricing must cover your costs and deliver a profit margin, while leaving room for retailers to mark up to their retail price.
Wholesale Price = Unit Cost / (1 - Desired Margin / 100). For example, if your unit cost is $12 and you want a 40% profit margin: $12 / (1 - 0.40) = $12 / 0.60 = $20 wholesale price. This ensures that 40% of the $20 price is profit.
Keystone pricing is a retail pricing strategy where the retail price is set at exactly 2x the wholesale price (a 100% markup, or 50% margin). For example, if your wholesale price is $20, the keystone retail price would be $40. It is a simple rule of thumb commonly used in retail, though not all industries follow it.
Margin is based on the selling price — it tells you what percentage of the price is profit. Markup is based on cost — it tells you how much you added on top of cost. A 40% margin means 40% of the wholesale price is profit. The equivalent markup would be 66.67%. Both describe the same transaction, just from different angles.
Typical wholesale margins vary by industry: food and beverage (25-35%), apparel and fashion (30-50%), electronics (15-25%), beauty and cosmetics (40-60%), handmade/artisan goods (50-70%). Start with industry benchmarks, then adjust based on your brand positioning, competition, and volume.
For handmade products, calculate your true unit cost including materials, labor (your time at a fair hourly rate), and overhead (workspace, tools, packaging). Then apply your desired margin. Many artisans target a 50% margin minimum: if your all-in cost per unit is $15, your wholesale price would be $15 / (1 - 0.50) = $30, with a $60 suggested retail.

More Tools You Might Like

📬

Get notified of new tools

We build new free tools every week. Subscribe and never miss one.

No spam. Unsubscribe anytime.