MOQ Calculator

Check whether a supplier's minimum order quantity sells through before it ties up too much cash or goes stale.

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Your numbers

The deal
units
$
units/mo

Leave at 0 if the product doesn't go stale. The calculator will still show the cash tied up and the cost of holding it.

Covers the cost of cash tied up, storage and shrinkage. 20 to 30% a year is a common rule of thumb for a small store.

%
Compare with a smaller order
units
$

Your result · updates as you type

Months to sell through the MOQ

6.7 months

At 150 units a month, the 1,000-unit MOQ ties up $4,200.00 and costs about $233.33 to hold until it's sold.

Cash tied up
$4,200.00
Cost of holding it
$233.33
Sell-through time
6.7 mo

Even after holding cost, the MOQ deal saves about $1,127.78 versus buying the same volume in smaller batches at $5.50 a unit.

Breakdown

MOQ
1,000
Price per unit
$4.20
Cash tied up at the MOQ
$4,200.00
Months to sell through
6.7 months
Average units held (linear sell-down)
500
Cost of holding the stock until it sells
$233.33
Smaller order: months to sell through
1.3 mo
Smaller order: holding cost per batch
$12.22
Smaller order: cost for the same 1,000 units (product + holding, 5 batches)
$5,561.11
MOQ: cost for the same volume (product + holding)
$4,433.33
The MOQ saves overall
$1,127.78

The MOQ deal isn't just about the unit price

A lower price at a higher MOQ looks like a win on the invoice. It isn't automatically one once you count how long that stock sits before it sells, and what holding it costs in tied-up cash, storage and shrinkage.

Months to sell through = MOQ ÷ expected units sold per month
Cost of holding it = (MOQ ÷ 2) × unit cost × annual holding rate × (months to sell through ÷ 12)
Assumes stock depletes in a straight line, so on average you're holding half the MOQ.

Example: the default numbers (1,000-unit MOQ at $4.20, selling 150/month)

Months to sell through
1,000 ÷ 150 = 6.7 months
Cash tied up
1,000 × $4.20 = $4,200.00
Cost of holding it (20%/yr)
≈ $233.33

At an 18-month shelf life, this MOQ comfortably sells through. Compared with buying 200 units at a time at $5.50 instead, the full MOQ still saves about $1,128 overall, once both plans' holding costs are counted.

Reading the result

  • Longer than the shelf life? Negotiate a lower MOQ, ask for a mixed-SKU minimum, or split the order across two purchase orders a few months apart.
  • Comfortably under it, but cash-strapped? The holding cost figure shows what that cash is really costing you sitting in a warehouse, separate from whether it'll eventually sell.
  • Smaller order looks cheaper overall? That usually means the price gap between the MOQ and the smaller quantity is small relative to how much cash and time the MOQ ties up. Worth testing with a smaller first order.

Questions people ask

How do I know if a MOQ is worth it?

Compare how many months it takes to sell through the MOQ against the product's shelf life or season, and weigh the unit-price saving against the cost of holding the extra stock. This calculator does both.

What's a reasonable holding cost rate?

20 to 30% a year is a common rule of thumb for small retailers, covering the cost of capital, storage and shrinkage. Your real rate depends on your warehouse costs and how you finance inventory.

Should I always take the lower price per unit?

Not automatically. If it needs a much bigger MOQ, the extra cash tied up and the risk of the stock going stale can outweigh a small per-unit saving. Run both through the calculator to see the real gap.

What if my product doesn't go stale?

Leave the shelf life at 0. The calculator will still show the cash tied up and the cost of holding it, without flagging a stale-stock risk.

Can I negotiate a supplier's MOQ down?

Often, especially with a new supplier relationship, a slightly higher unit price, or a first order that proves you'll reorder. It's always worth asking before committing to a MOQ that fails the sell-through check here.

Want this builtinto your store?

I'm Emmanuel, a Shopify and WooCommerce developer. If this tool pointed at something you'd rather have fixed for you (a faster store, cleaner product data, a migration, a custom feature), send me a note.

Emmanuel Asika

Emmanuel Asika

Shopify & WooCommerce developer, Dublin

I build and fix online stores: new builds, migrations, speed, SEO and the custom bits apps can't do.

hello@emmanuelasika.com

Last reviewed 30 September 2026.