How to organize and track inventory for small business

#HOW TO ORGANIZE AND TRACK INVENTORY FOR SMALL BUSINESS HOW TO#
#HOW TO ORGANIZE AND TRACK INVENTORY FOR SMALL BUSINESS SOFTWARE#
#HOW TO ORGANIZE AND TRACK INVENTORY FOR SMALL BUSINESS DOWNLOAD#

Enter your bill into your accounting system.

Shelve or store all correctly received stock (tag or label first if needed for your system).

If you find errors like wrong, shorted, or missing items, note these on your PO and contact your supplier immediately to resolve them.

If the counts and products match, file as received physically or in your POS system.

Ensure that you receive all boxes, containers, or other units in the shipment based on your POs.

Unpack the shipment and organize items by product.

#HOW TO ORGANIZE AND TRACK INVENTORY FOR SMALL BUSINESS HOW TO#

How to Accurately Receive Stock Shipments That leads to stock shortages, backorders, and, ultimately, cash losses. If you do not catch order discrepancies by checking the received items against your PO, you run the risk of thinking that you received stock that didnвЂ™t actually arrive. While this slip will likely match the physical shipment, if the supplier made an error during order entry, the packing slip would not match your PO, and the quantities would not be accurate. Suppliers generally include packing slips that list the items and quantities in your shipment.

ItвЂ™s especially important to ensure that you check all received items against your PO. Receiving your inventory accurately will ensure that you have a good understanding of your stock and that you are not missing any items. To receive inventory correctly, companies should receive and unpack all boxes in the same space, count each box, and check the items received against original purchase orders. Supplier errors happen often, and if you arenвЂ™t being diligent about systematically receiving your inventory, you might get shorted, overcount, or underestimate your inventory levels-which can lead to shrinkage and a decrease in your margins. Once you have submitted your purchase order for the right amount of stock, you want to be sure that you receive that stock accurately.

Step 3: Receive Inventory Orders Accurately This will help you prevent stockouts and the accompanying disappointed customer. POS systems also have low-stock alerts that tell you when an inventory item reaches a designated minimum threshold and when you need to place a new PO. Alternatively, there are features within POS systems like Lightspeed that you can use to make your POs easier and more efficient.ДЄs mentioned before, many POS systems have directory features to manage vendor contact information, and some even allow you to send POs directly from their interface.

#HOW TO ORGANIZE AND TRACK INVENTORY FOR SMALL BUSINESS DOWNLOAD#

If your vendor does not have an order form, you can download our purchase order template to make things easier. Purchase orders are typically submitted to vendors electronically through email or via the vendorвЂ™s online ordering portal. Then, in the spring, when my shoes get delivered, I can use my PO forms to make sure that my quantities, sizes, and models arrive accurately. I would fill out a purchase order form with the exact shoes and quantities that I want, see the total price, and submit my PO to the supplier with a delivery date. This will help you stay on top of your inventory counts and prevent shrinkage.ДЇor example, say I want to order 300 pairs of shoes from my favorite supplier for this coming spring. Keep track of your POs so you have a record of everything you purchased from your supplier and can cross-reference your deliveries with what you actually expected to receive. Lightspeed Retail has a built-in vendor directory and product catalog so that businesses can send POs directly through their software. POs are financial transactions, so create them when you have time to review your cash flow and realistically forecast your stock needs. They are the easiest way to manage your inventory purchases, letting you track every stock purchase efficiently, from placing the order to receiving the shipment and paying the bill. Step 2: Create & Submit Accurate Purchase OrdersД®ssentially, POs are buyer-created receipts that document the sale of products to be delivered on a future date.

Retail and ecommerce businesses can build strong relationships with product suppliers by sticking with the same suppliers over a period, meeting suppliers in person at trade shows, and, perhaps most importantly, paying invoices on time. If there is a quality control issue or a discrepancy with a purchase order (PO), having a good relationship with your supplier can help resolve these issues quickly. When this happens, retailers are at the mercy of their suppliers.

#HOW TO ORGANIZE AND TRACK INVENTORY FOR SMALL BUSINESS SOFTWARE#

There are also a number of free inventory management software available.Д«uild Relationships With Product SuppliersД®ven with the best inventory management plan, issues can still arise where you need products ASAP to fulfill an order. Tip: Not ready to invest in a POS system with inventory management capabilities? No worries.

How to organize and track inventory for small business