Service Business Profit Margin Calculator
Compute margin from cost and price, derive price from markup, or solve the price needed for a target margin. Trade-typical bands, no signup.
How this is calculated
Gross margin = (price − cost) ÷ price. Markup = (price − cost) ÷ cost. The two answer different questions; we show both so you can quote either way.
margin % = (price − cost) / price
markup % = (price − cost) / cost
required price = cost / (1 − target margin)
markup → margin = markup / (1 + markup)
margin → markup = margin / (1 − margin)
Example: cost $80, price $100 → margin
20%, markup 25%. To hit a 20% margin on a
$100 cost, charge $100 / (1 − 0.20) = $125.
Trade benchmarks are industry typicals (FieldRoutes, Profitability Partners, CleanerHQ, NextInsurance), not guarantees.