Open To Buy Instant

: The value of the stock you already have on hand at the start of the period. Types of OTB

The primary goal of OTB planning is to maintain the right inventory balance.

: Focuses on the expected selling price of the merchandise, useful for high-level strategic planning. open to buy

is a financial planning strategy used by retailers to calculate how much inventory they should purchase over a specific period. It acts as a buying budget that balances current stock against sales goals and markdowns to ensure a store has enough product to meet demand without overspending or overstocking. Core Purpose

In a personal finance context, "open to buy" can also refer to the on a consumer account, such as a Sam's Club credit card. It represents the amount of credit remaining that the cardholder can use for new purchases. [Video] Open to Buy Explained + Template Walkthrough : The value of the stock you already

OTB=(Planned Sales+Planned Markdowns+Planned End-of-Month Inventory)−Planned Beginning-of-Month Inventorycap O cap T cap B equals open paren Planned Sales plus Planned Markdowns plus Planned End-of-Month Inventory close paren minus Planned Beginning-of-Month Inventory : The total revenue expected for the period.

: Ensures popular items remain available for customers to prevent lost sales. is a financial planning strategy used by retailers

Retailers typically use a basic formula to determine their available budget (often calculated in retail dollars):