Storage Days Cost Calculator
Physical storage is the smallest part.
Cost of holding this stock
$103,826
$577 a day
Physical storage is only 47.9% of the true carrying cost — capital and obsolescence are the rest. That is why negotiating a storage rate saves far less than shipping less often in smaller quantities.
How the Storage Days Cost Calculator works
Physical storage is usually a minority of the true carrying cost — capital tied up and obsolescence are the rest. That is why negotiating a storage rate saves far less than shipping less often in smaller quantities.
Not financial advice. Marketplace fees change, and they vary by country, plan and seller status. Every rate here is an editable default, not a quoted price — check the platform's current fee schedule before you price a product against it. This is not tax or business advice.
Frequently asked questions
What is inventory carrying cost?
Physical storage plus the cost of the capital tied up plus obsolescence and shrinkage. It commonly totals 20% to 30% of stock value a year.
Why include the cost of capital?
Because money in stock cannot be used for anything else. At a 12% cost of capital, £200,000 of stock costs £24,000 a year before a single storage invoice.
How do I estimate obsolescence?
From your own history — what fraction of stock is eventually discounted heavily or written off. Fashion and technology run high; commodities run low.
What does this change?
It usually makes smaller, more frequent orders look better than the per-unit price suggests, and it makes slow-moving SKUs look far worse.