MOQ calculator

A lower per-unit price at a supplier's minimum order quantity isn't automatically the better deal — it ties up more cash and sits in inventory longer. Enter your numbers to see both sides of the trade.

MOQ calculator

Compare against a smaller order (optional)

—Cash required at MOQ
—Time to sell through

Cheaper per unit isn't the same as cheaper overall.

A supplier offering 2,000 units at $4.20 instead of 500 units at $5.10 looks like a straightforward win — 18% off per unit. But it also means $8,400 in cash instead of $2,550, and if you're selling 350 units a month, that's 5.7 months of inventory sitting in a warehouse instead of 1.4. The per-unit saving is real; so is the cash and the risk that comes with holding it that long.

What that cash could otherwise be doing matters here. Tied up in inventory, it isn't available for ad spend, other SKUs, or just runway — and if the product doesn't sell as fast as planned, has a shelf life, or the design changes before it sells through, a large MOQ order is the more expensive mistake to have made, discount or not. There's no universal right answer; it depends on your cash position, how confident the sales forecast is, and whether storage and time value of money outweigh the per-unit saving for your specific numbers.

Landed cost — not just the supplier's quoted unit price — is the number that actually belongs in this comparison, since freight and duty don't scale down proportionally at smaller order sizes either. Run both quantities through the landed cost calculator before comparing them here.

More sourcing & inventory math.

Questions about MOQ decisions

What counts as a reasonable months-of-inventory number?
It depends heavily on the product and business — perishable or trend-driven items usually want much less than a slow-moving staple. There's no universal target; use it as a gut check against your own comfort with cash tied up and forecast risk, not a pass/fail line.
Does this account for storage costs?
No — it only covers the cash tied up in the units themselves and how long they'll likely take to sell through. Warehouse or 3PL storage fees, if you pay them, are a separate ongoing cost on top of that and worth adding to your own comparison.
Can I negotiate a supplier's MOQ down?
Often, especially with a new supplier relationship or if you offer a slightly higher per-unit price in exchange for a smaller minimum. It's always worth asking rather than treating a quoted MOQ as fixed, particularly early on before volume gives you more leverage.
Should I use total sales or just this product's sales for monthly sales velocity?
Just this specific SKU's average monthly unit sales — the calculator is checking how long this particular order will take to sell through, not your whole catalog's velocity.

Free calculators for ecommerce growth math.

No credit card. 7-day free trial.