MOQ Calculator

Understand your inventory requirements, cash investment and inventory duration based on your sales forecast

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INPUTS

MOQ Calculator

Estimate cash required, inventory duration, and reorder risk.

RESULTS

Inventory Summary

Total Cash Required $14,550 All-in investment
Months of Inventory 4.17 Months
Inventory Risk Moderate Review forecast vs order quantity
Recommended Reorder 4,800 Units

Cost Breakdown

Product Cost$12,500
Freight$1,250
Duties & Tariffs$800
Estimated Storage$0
Total Cash Required$14,550

Inventory Duration

0 3 6 12+ months
Based on your MOQ and forecast, this order appears moderate risk.

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How to evaluate a minimum order quantity

A low unit price can still create an expensive decision if the MOQ ties up cash, creates excess inventory, or increases storage and obsolescence risk. Compare the order quantity with realistic monthly demand, available working capital, lead time, safety stock, and the cost of a future reorder.

Questions to ask a supplier

Ask whether the MOQ is driven by material purchasing, production economics, packaging, or a supplier policy. A staged order, shared components, a pilot run, or a negotiated first-production MOQ may reduce risk without choosing the lowest-quality source.