How Online Sellers Should Adjust Their Cash Flow Spreadsheet for the 2025 Tariffs

Image by THAM YUAN YUAN from Pixabay 

As of April 2, 2025, new tariffs have been implemented that are directly impacting many imported goods commonly sold by eCommerce businesses. If you’re an online seller importing products, your landed cost per unit has likely increased — and that has a ripple effect on your entire cash flow.  

This blog post will walk you through how to update your cash flow spreadsheet to reflect these changes so you can stay profitable, proactive, and in control. 

🔍 1. Identify the Tariff Impacted Products 

Start by listing SKUs affected by the new tariffs. For each of these products: 

• Note the previous landed cost per unit (product cost + shipping + duties). 

• Calculate the new landed cost per unit post-tariff. 

• Identify any product bundles that include these SKUs. 

This will help isolate the areas of your business where margin erosion is occurring. 

📊 2. Update COGS in the Cash Flow Forecast 

In your cash flow spreadsheet: 

• Update the Cost of Goods Sold (COGS) line for each month going forward. 

• Multiply your expected unit sales by the new landed cost. 

Example Update: If you were selling 1,000 units/month of a product with a previous landed cost of $5 and now it’s $6 due to a tariff: 

• Previous monthly COGS = $5,000 

• New monthly COGS = $6,000 

📦 3. Adjust Inventory Purchases 

Tariffs also impact your cash outflows for inventory purchases. If you’re importing inventory 1–3 months before sales, you’ll need to increase your forecasted inventory purchases now. 

Update your spreadsheet's inventory purchase line to reflect the tariff-adjusted costs, not just current sales. 

💸 4. Review Gross Margin Projections 

Once you’ve updated your COGS, recalculate gross margin: 

• Gross Margin = (Revenue - COGS) / Revenue 

If margins fall too low, consider: 

• Raising prices (check competitor pricing). 

• Changing packaging or freight methods to reduce other costs. 

• Negotiating with suppliers. 

Add a “what-if” scenario tab to test price increases or cost cuts. 

💵 5. Adjust for Delayed Cash Timing 

Tariff-related delays (e.g., customs or supplier slowdowns) can shift your cash conversion cycle. Update: 

• Accounts payable: Will suppliers shorten terms due to higher costs? 

• Inventory lead times: Will you be tying up more cash longer? 

Update the timing of cash outflows and inflows accordingly to avoid cash shortages. 

🧾 6. Add a Line Item for Tariff Payments 

If you’re paying the tariff directly (rather than the supplier bundling it), make sure your spreadsheet includes: 

• A separate “Tariff Payments” line under operating expenses or cost of goods sold. 

• Match payment timing to actual customs release or freight forwarder billing. 

📅 7. Monitor More Frequently 

For the next 3–6 months, review your cash flow weekly instead of monthly. Tariff impacts often have lagging effects (e.g., returns, canceled orders, supply chain disruptions). 

Use real-time data where possible, especially if you sell on multiple platforms (Amazon, Shopify, your own site). 

Sample Spreadsheet to Calculate Tariff Impact 

Here’s a sample Google Sheets file that reflects all the changes discussed: Tariff and Inventory Cost Impact by SKU. 
 

The spreadsheet includes: 

• Monthly cash flow from April–December 2025 

• Updated COGS reflecting tariff changes 

• Inventory purchase cash flow adjustment 

• Change in gross profit margin 

You can use this spreadsheet to get at the adjusted number to use in your regular cash flow spreadsheet for your inventory costs. 

Final Thoughts 

Tariffs can feel like a curveball, but with a solid cash flow plan, you can respond strategically. Use this opportunity to analyze your products, streamline operations, and protect your margins. 

Want help adjusting your spreadsheet or looking at profit scenarios? Let’s talk. 📞