The purchase price is only part of the total cost. While surplus stock remains in storage, it ties up capital, uses warehouse space and can lose value.
Financial costs
Operational costs and value loss
| Annual cost example · €500.000 in surplus stock | |
|---|---|
| Cost of capital tied up in the stock (8%) | €40.000 |
| Storage (250 m² at €90 per m² per year) | €22.500 |
| Insurance, administration and stocktaking (2%) | €10.000 |
| Write-downs and damage (3%) | €15.000 |
| Total annual carrying cost (17,5% of stock value) | €87.500 |
Illustrative example only. Use the worksheet below to calculate your own costs.
Calculate what your surplus stock costs each year and how much warehouse space it takes up.