Landed Cost stands for the full cost of a product, once it has made it to your possession. It is not only the cost of the product itself, but it has added to it all additional costs. These costs include transportation fees, taxes, duties, insurance, currency conversion, etc.
Landed Costs are typically used in the context of replenishing the stock of your business. The buyer makes sure the Landed Costs are calculated correctly.
Calculating Landed Costs will help you be more aware of your costs. When you know all your expenses, not only the value of a purchased or manufactured product, you’ll be able to set proper profit margins for your goods to sell to your clients.
When you handle Landed Costs with Megaventory, the app will calculate the landed cost of each individual item, dividing the costs appropriately. Read how to use Landed Costs in Megaventory.
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