Inventory Capital Tied-Up Calculator
How much working capital is locked in my inventory?
Your numbers
Result
Capital tied up
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How this is calculated
Every unit sitting in a warehouse is money you can't use elsewhere. This calculator multiplies your average stock by its unit cost to show total tied-up capital, then adds carrying cost to reveal the real price of idle inventory.
- Tied-up capital = avg units x COGS per unit
- Carrying cost = tied-up x carrying rate%
What to make of the number
Successful FBA sellers keep inventory capital below 40% of annual revenue.
Frequently asked questions
What goes into the carrying rate?
Storage fees, insurance, shrinkage, and the opportunity cost of your money (typically 8-15%).