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Business

Return on Investment Calculator

Calculate ROI as a percentage from an investment's cost and the profit or gain it generated over a period.

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Your results

ROI30%
Net gain$6,000.00
Investment cost$20,000.00

Calculation breakdown

ROI
(Net gain ÷ Investment cost) × 100

Worked example

A $20,000 marketing campaign that generated $6,000 in net profit delivered a 30% ROI.

Assumptions

  • Net gain should be profit generated, not total revenue.
  • This is a total return figure and doesn't account for the time taken to realise it.
  • A negative net gain shows as a negative ROI, meaning a loss.

How this calculator works

Enter the cost of an investment and the net gain or profit it returned to calculate ROI as a percentage. This is a general business ROI measure, not specific to shares or property.

Frequently asked questions

How is ROI calculated?

ROI equals the net gain divided by the cost of the investment, expressed as a percentage.

Does ROI account for the time period?

No, basic ROI is a total return figure; use the payback period calculator to see how quickly that return is achieved.

What counts as the investment cost?

Include all direct costs of the investment, such as purchase price, setup and implementation costs.

Results are estimates only and are not financial, tax, legal or credit advice.

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