Gross profit is the profit a company makes after deducting the costs of making and selling its products or services. It's also referred to as gross income.

A firm’s net profit margin is a key indicator of its profitability. Analyzing it can tell potential investors whether the business may be a good bet.

What’s a good profit margin for your business? There’s a quick answer to this question. A good profit margin is usually 10% or higher for most businesses, though this varies significantly by industry.