How the MOQ Calculator works
A supplier MOQ is a cash and risk decision, not just a quantity. This tool converts it into what you have to spend, how long the stock lasts, and what it could earn.
Formula
- Initial investment = MOQ × (Unit cost + Shipping per unit)
- Months of stock = MOQ ÷ Projected monthly sales
- Potential profit = MOQ × (Price − Cost − Shipping − Fees)
- Payback months = Investment ÷ (Profit per unit × Monthly sales)
Example
1,000 units = $6,000 up front and 10 months of stock: medium risk.
Supplier MOQ (units): 1000Unit cost: 5Shipping per unit: 1Target selling price: 25Amazon fees + ads per unit: 9Projected monthly sales (units): 100
Frequently asked questions
What is a safe months-of-stock?
3–6 months for a first order. Over 12 months is usually a red flag unless the product is proven.