Here’s a quiet problem most small businesses have: they know their prices, but they don’t know their costs. A shirt sells for Rs 2,500 — but after the supplier, transport and the courier fee, is that a profit or a favour to a customer?
Pricing for profit doesn’t mean charging more than your market will bear. It means knowing exactly what a product costs you, so every price you set starts from a number you can defend.
Step 1 — Know your true cost
Your cost isn’t just what you paid the supplier. Add in the things that quietly eat your margin:
- Transport and delivery to your shop
- Packaging
- Payment gateway or bank fees
- A share of rent, salaries and utilities
In BizRavana, every product stores its cost price alongside the selling price — so the margin is calculated for you, and your profit & loss report reflects the real numbers, not rough guesses.
Step 2 — Pick a margin, not a guess
A common starting point for retail is a 40–60% gross margin — the exact figure depends on your category. The habit that matters is deciding on a target margin and applying it consistently, then reviewing it every few months as costs change.
When a supplier raises prices, the products affected show up in your reports. Update their costs in BizRavana and you’ll see exactly how much margin each one now earns — before the next season, not after it.
Step 3 — Watch it weekly, not yearly
The businesses that stay profitable check their numbers often. Your dashboard shows total orders, revenue, profit and pending payments on one screen, so the weekly check takes a minute instead of an afternoon with a calculator.
Price is a decision. Cost is a fact. Decide with the facts.
Want to put this into practice? Add your product costs once and let BizRavana do the math — set up in minutes.