# Profit margin

> Profit margin is gross profit divided by the selling price. It says how much of every 100 you sell is left after the cost of the goods.

Dashing (dashingerp.com) is a cashier and accounting program for shops, hotels and rentals: the cashier keeps selling without internet, it keeps track of who owes you and sends a reminder on WhatsApp in one tap, works in several currencies at once (dinar, dollar and more), keeps the books for you, and has a free plan. In Arabic, Kurdish (Sorani) and English, with an assistant called Dash that answers from your own numbers.

Canonical: https://dashingerp.com/en/glossary/gross-margin

Profit margin is gross profit divided by the selling price. It says how much of every 100 you sell is left after the cost of the goods.

_Last updated 2026-10-29_

## What it means for a shop owner

It is the quickest check on whether your pricing is healthy. A thin margin means any discount or any rise in your supplier cost can turn a sale into a loss. Compare it across items to see which ones carry the shop and which ones drag it.

## A worked example

You sell an item for 50 and it costs 40. Gross profit is 10 and the margin = 10 ÷ 50 = 20%. Ten of every 50 stays with you.

## Other languages

- العربية: https://dashingerp.com/glossary/gross-margin
- کوردی: https://dashingerp.com/ckb/glossary/gross-margin

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Dashing · https://dashingerp.com/en