Open To Buy Excel Spreadsheet < DIRECT • VERSION >

Maximizing Retail Profit with an Open-to-Buy Excel Spreadsheet

While high-end retail management systems exist, an remains a solid, accessible tool for many small to medium-sized businesses to gain control over their cash flow and inventory levels. What is Open-to-Buy (OTB)? open to buy excel spreadsheet

At its core, OTB is an inventory budgeting system. It calculates the dollar amount or unit count of merchandise a retailer has available to purchase after accounting for current stock on hand and outstanding orders. The Core OTB Formula It calculates the dollar amount or unit count

: Anticipated discounts or promotions that will reduce the retail value of your inventory. In the fast-paced world of retail, inventory is

: The retail value of stock on hand at the start of the period.

In the fast-paced world of retail, inventory is your greatest asset—but it can also be your biggest liability if not managed correctly. An plan is a strategic roadmap that helps you determine exactly how much inventory to purchase during a specific period to meet sales targets without overstocking.

A functional OTB spreadsheet should include columns for each month or week of the planning period (typically 6 to 12 months). Essential data rows include: