Profit or Loss Calculation in Indian Ecommerce Business

Ecommerce Business is a Game of Numbers. If You are able to Play the Game, then this article is for you.

Your eCommerce business will live or die based on how you manage your cash flow. Let’s set a target for making profit. If you have monitor sales, but your customer acquisition costs and operating expenses are more than total sales volume, or you go through with the wrong accounting then you are on a wrong track to business failure. Understanding the accounting basics for an eCommerce business, along with setting up simple systems and processes, can help you stay compliant and out of the losses. So, you need proper calculations & prediction with proper plan.

94% of ecommerce businesses have finished within first 2-3 years. There are multiple valid reasons. But, in this article we should understand & implement A key Factor. i.e. Free Sheet – PROFIT OR LOSS CALCULATION IN INDIAN ECOMMERCE BUSINESS.

There Must Be a downloadable Link End of the article. From This Calculation Sheet you can fix your product cost also.

Key Points

  1. Purchase Cost of your Product
  2. Listed Price in your website
  3. GST
  4. Advertisement Cost
  5. Shipping Charges
  6. C.O.D. Fee
  7. Packaging Cost
  8. RTO Charges
  9. Product Damage maintenance cost
  10. Software / website maintenance Charges

You need to know that your business is making money. And the easiest way to see this is to watch your cash flow. Track what you expect to spend each week. Track what money you expect to come in each week. This is very important & vital part to trace your Cash-Flow.

What You Need to Know Doing Calculation for Your Ecommerce Store?

  • Google Sheet
  • Break-Even Point
  • Cash-Flow
  • Taxes
  • Exact Expanses

Now gather some actionable data from your website & monitor them finally. In case of, C.O.D., RTO, Return, Refund, logistics you need to calculate everything before you play the E-Commerce Game.

Before You Download the sheet ; Warning!

  • Do not Change or Delete Any Codes in the Sheet
  • Keep a copy in Google the Sheet
  • Only White Areas are changeable in the sheet
Do not make any changes at Colorful areas (At your own Risks!)
Download Here

Download Here