Build vs Buy Calculator
Result
Build vs Buy Calculator Compare the total cost of building (making in-house) versus buying (outsourcing) a product or component. Enter your fixed and per-unit build costs, the per-unit purchase price, and the quantity needed to see which option is cheaper — free online calculator.
Formula
- Build vs Buy Calculator calculates its result from Build Fixed Cost, Build Variable Cost per Unit, Buy Cost per Unit, Units Required. It uses the formula Total Build = Fixed Cost + (Build Unit Cost × Units); Total Buy = Buy Unit Cost × Units. Change any input to recalculate the result instantly.
- The main inputs are Build Fixed Cost, Build Variable Cost per Unit, Buy Cost per Unit, Units Required. Enter them in the units and format shown in the calculator.
- Use monetary amounts, rates and time periods exactly as labeled; the result reflects the assumptions entered on this page.
- Changing any input above recalculates the result with the same calculation engine used by this page.
Example: Build vs Buy
- Build Fixed Cost: 15000
- Build Variable Cost per Unit: 12
- Buy Cost per Unit: 18
- Units Required: 1000
Using Build Fixed Cost = 15000, Build Variable Cost per Unit = 12, Buy Cost per Unit = 18, Units Required = 1000, the calculated result is 18000.
Sample result: Calculating…
Frequently asked questions
What does the Build vs Buy calculate?
Build vs Buy Calculator Compare the total cost of building (making in-house) versus buying (outsourcing) a product or component. Enter your fixed and per-unit build costs, the per-unit purchase price, and the quantity needed to see which option is cheaper — free online calculator.
Which values should I enter?
Enter Build Fixed Cost, Build Variable Cost per Unit, Buy Cost per Unit, Units Required using the units and format shown beside each field.
What formula does this calculator use?
The calculator uses the following relationship: Total Build = Fixed Cost + (Build Unit Cost × Units); Total Buy = Buy Unit Cost × Units.
Why might my result differ from another source?
Results can differ when another source uses different units, rounding rules, conventions or assumptions. Compare the inputs and definitions before comparing results.
Does the result update automatically?
Yes. Changing an input updates the result using the same calculation engine shown on this page.