Open To Buy Spreadsheet -

3 Reasons Open-to-Buy is THE Critical Planning Tool for Retailers

Expected discounts or price reductions to move older stock.

An spreadsheet is a vital retail inventory planning tool that tells you exactly how much budget is available to purchase new merchandise for a specific period. It serves as a financial roadmap, helping you balance your sales goals with current stock levels to avoid tying up cash in stagnant inventory or losing sales due to stockouts. The Core OTB Formula open to buy spreadsheet

Usually broken down by month or season to track changes over time.

A functional OTB template typically includes the following columns or sections: 3 Reasons Open-to-Buy is THE Critical Planning Tool

A calculation to ensure you aren't over-investing relative to your sales volume. Why Retailers Use OTB Spreadsheets

At its most basic level, your spreadsheet uses this logic to determine your available budget: The Core OTB Formula Usually broken down by

Planned OTB=Planned Ending Inventory+Planned Sales+Planned Markdowns−Planned Beginning InventoryPlanned OTB equals Planned Ending Inventory plus Planned Sales plus Planned Markdowns minus Planned Beginning Inventory