Profit Tool: how to set up cost of products

In order for ZonWizard to calculate margins on sales it is necessary to indicate the unit cost associated with each product.

Stock

The software reasons by stock, meaning that each time you buy a new stock of a product it is possible to indicate the unit cost of the lot including all the expenses necessary for its arrival at the warehouse from where shipments towards the final customers will depart.

Unit cost
The unit cost of the product will be calculated and associated with each unit sold.

Cost of returns

Furthermore whenever a customer returns a product and it is still deemed “sellable” the unit cost will be re-credited.

Unit cost variation

The costs for restocking a product can vary in time, so, whenever you need to update the cost of a product, all you have to do is create a new stock and indicate its cost and date of arrival at the warehouse. The new unit cost will be associated with each sale from this date on.

Warehouse remainders
If there are remainders of a product in the warehouse when a new stock arrives, it is possible to indicate its quantity and this will prompt the unit cost to be calculated as the weighted average between the old and new stock with respect to the quantity just arrived and the remaining one.

There are 2 ways to insert the costs of products:

Inserting stock by single product
Bulk loading stock using excel template

1 Inserting stock by single product

Go to the Profits > Products menu and click the product for which you want to set the cost.

Click on the “New Stock” button, this input mask will open up.

Insert the date of arrival of stock at warehouse, the total costs (VAT excluded) of the entire stock and the product quantity. The software will calculate the unit cost.

[Nota Bene] All the expenses incurred for transporting the goods up to their arrival at the warehouse from where shipments to the final customers will depart are to be included in the shipping costs. Even costs referred to Amazon handling part of the transportation are to be included here.

[Nota Bene] If more that one lot of products are shipped together, the cost of the shipment will be subdivided according to the volume occupied by each product in the shipment.

“Brand name” product stocks

In the case of brand name product sales the values indicated in the input mask may not be relevant. It’s important to note that the amounts and quantities are needed only to determine the unit cost of the product. The quantity will not be saved warehouse quantity
So if you know what unit cost to assign to the product, you don’t need to insert all the cost items, but only the unit cost in the “cost of production” field, leaving all the other amounts at zero and quantity = 1.

Product stocks for flat-tax rate scheme sellers

If you’re operating a flat-tax rate basis, you won’t be able to retrieve the VAT paid on the purchases of your products. So, you will have to insert the amounts for purchasing stock with VAT included in order to calculate your profit correctly.

2 Bulk loading stock

If your catalogue contains many products, you might find it handy to insert all the costs by bulk uploading a single excel file.

To do this go to the Profits > Bulk Upload

Download one of the templates available, either blank or pre-completed with your products.

In the excel file you will have to fill in each line with the information about the stock of the product.

After saving the file you can select it and click the Upload button.

If you handle shipments through your own logistics, you will have to insert the FBM shipping costs as well as the costs of the products in order to correctly calculate margins.