ROI Calculator
Calculate your Return on Investment (ROI) and net profit margins to track your business yield.
Investment details
$250.00
$100.00
ROI Yield
150.0%
ROI
Initial Investment Cost
$100.00
Return on Investment
150.0%
Net profit
$150.00
Understanding ROI (Return on Investment)
What is ROI?
Return on Investment (ROI) is a key financial metric used to evaluate the efficiency or profitability of an investment. It measures the amount of return on an investment relative to its cost.
The ROI Formula
ROI is calculated by taking the net profit (Revenue minus Investment Cost), dividing it by the Investment Cost, and multiplying the result by 100 to get a percentage: ROI = (Net Profit / Investment Cost) * 100.
Why ROI Matters for Resellers
For inventory-based businesses like reselling, ROI tells you which products are generating the highest yield per dollar spent. An item bought for $10 and sold for $30 yields a 200% ROI, which is highly efficient.