Lead time: Definition, Formula & Why It Matters
Lead time is the total time between placing a purchase order and the inventory being ready to sell. It includes processing, production, shipping, customs, and receiving. For overseas sourcing it can run 30 to 90 days or more.
Lead time formula
Example
An overseas order taking 10 days to ship plus 5 days to clear and receive has a 15-day-plus lead time.
Why it matters for Reverb sellers
Lead time directly sets your reorder point: the longer it takes to restock, the earlier you must order. Underestimating it is one of the most common causes of stockouts for growing shops.
How Verbstack helps
Verbstack tracks supplier timing so your reorder points reflect real lead times.
Track this on every order, automatically.
- ✓ Real fees, margins, and profit on every Reverb sale
- ✓ COGS and inventory tracked for you, no spreadsheet
- ✓ Full history and a live monthly P&L
Free forever to get started. No credit card required.
See this number on every order.
Connect your Reverb shop and Verbstack tracks your fees, margins, and profit automatically.
Get started freeFree forever to get started. No credit card required.