Enter the initial and final revenue into the calculator to determine the business growth percentage. This calculator helps to evaluate the growth of a business over a period of time.
Business Growth Percentage Formula
The following formula is used to calculate the business growth percentage.
Growth Percentage = left(frac{Final Revenue - Initial Revenue}{Initial Revenue}right) times 100%Variables:
- Initial Revenue is the revenue at the start of the period.
- Final Revenue is the revenue at the end of the period.
- Growth Percentage is the percentage increase in revenue over the period.
To calculate the business growth percentage, subtract the initial revenue from the final revenue, divide the result by the initial revenue, and then multiply by 100 to get the percentage.
What is Business Growth Percentage?
Business growth percentage is a measure of the increase in a company’s revenue over a specific period. It is an important indicator of the company’s financial health and performance. A positive growth percentage signifies that the business is expanding, while a negative percentage may indicate a decline in sales or revenue.
How to Calculate Business Growth Percentage?
The following steps outline how to calculate the Business Growth Percentage.
- First, determine the initial revenue at the start of the period.
- Next, determine the final revenue at the end of the period.
- Use the formula from above to calculate the growth percentage.
- Finally, calculate the Business Growth Percentage.
- After inserting the variables and calculating the result, check your answer with the calculator above.
Example Problem :
Use the following variables as an example problem to test your knowledge.
Initial Revenue = $50,000
Final Revenue = $75,000
