Businesses that handle inventory know that managing it properly will make or break the business. In today’s market, between heavy competition and buyers/suppliers being interconnected with EDI, the margins on merchandise continues to get smaller and smaller each year.
When the business starts off small, it’s usually manageable when inventory quantities are low and most sales are completed with ‘on demand’ inventory, which means you purchase what your customers need when they purchase it from you, or the ‘sell one, buy one’ methods. However, most successful medium and large size businesses owners have repeatedly said that it would have been impossible to increase the size of their business without significantly improving the way inventory is handled. Many large companies attribute their success to their inventory management. Things like having the right amount of stock to handle demand and timely sales fulfillment make the difference between getting and keeping customers happy.
But small and growing businesses sometimes cannot make that shift into medium-large businesses, mainly due to the challenges of managing inventory. When you make that transition, the heart of your business is an inventory system whether it is included in your accounting program or whether you have a 3rd party ERP or SaaS inventory management system that ties directly into your business accounting program. In today’s world, this inventory system would consist of integrating your desired business processes with your purchasing, sales, shipping/receiving, and accounting departments seamlessly.
QuickBooks has a vast array of features built in to help you with inventory tracking, but you may also want to take your inventory to a better platform. If you want the help and insight of a certified QuickBooks ProAdvisor experienced with inventory, we are here to help.