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Free Tool:
MOQ Break-Even Calculator

Calculate if factory minimums make financial sense for your business. Compare ordering scenarios, assess inventory risk, and make data-driven decisions about minimum order quantities.

MOQ Break-Even Calculator

Calculate if factory minimums make financial sense

Factory Quote

USD
units
%
units

Your Business

USD
%
units

Break-Even Analysis

If you order
100 units
(your need)		If you order
300 units
(factory MOQ)
Total Product Cost$1250.00$3750.00
+ Surcharge$187.50$0.00
Total Investment$1437.50$3750.00
Cost per Unit (with surcharge)$14.38$12.50
Revenue (70% sell-through)$4550.00$13650.00
Total Investment-$1437.50-$3750.00
Net Profit$3112.50$9900.00
ROI217%264%

Risk Assessment

HIGH

Excess Inventory Risk: You'll have 200 extra units (67% excess) that may need:

  • Deep discounting (30-50% off)
  • 6-12 months storage
  • Additional marketing spend

Recommendations

•The MOQ is financially viable with strong ROI on both scenarios
•Can you realistically sell 300 units at 70% sell-through? Consider your marketing budget and sales velocity.
•Alternative: Negotiate MOQ to 200 units
  • Cost per unit: $12.50 (no surcharge)
  • Reduces excess inventory risk by 33%
  • Total investment: $2500.00

MOQ Break-Even Calculator

Calculate if factory minimums make financial sense

Factory Quote

USD
units
%
units

Your Business

USD
%
units

Break-Even Analysis

If you order
100 units
(your need)		If you order
300 units
(factory MOQ)
Total Product Cost$1250.00$3750.00
+ Surcharge$187.50$0.00
Total Investment$1437.50$3750.00
Cost per Unit (with surcharge)$14.38$12.50
Revenue (70% sell-through)$4550.00$13650.00
Total Investment-$1437.50-$3750.00
Net Profit$3112.50$9900.00
ROI217%264%

Risk Assessment

HIGH

Excess Inventory Risk: You'll have 200 extra units (67% excess) that may need:

  • Deep discounting (30-50% off)
  • 6-12 months storage
  • Additional marketing spend

Recommendations

•The MOQ is financially viable with strong ROI on both scenarios
•Can you realistically sell 300 units at 70% sell-through? Consider your marketing budget and sales velocity.
•Alternative: Negotiate MOQ to 200 units
  • Cost per unit: $12.50 (no surcharge)
  • Reduces excess inventory risk by 33%
  • Total investment: $2500.00

Understanding factory minimum order quantities is critical for apparel inventory management and profitable garment production.

Whether you're sourcing from apparel vendors or managing wholesale inventory, our MOQ calculator helps fashion brands evaluate the true cost of production commitments.

Calculate break-even points, assess excess inventory risk, and make data-driven decisions about factory partnerships. Perfect for emerging fashion designers navigating apparel manufacturing ERP decisions and clothing inventory management software needs

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