When it comes to small business stock control, there are some best practice strategies that can be put in place to better manage your inventory and take control of your stock (and your business). Here are some of the techniques that you can put in place:
Finesse your forecasting
Accurate forecasting is crucial to effective small business stock control. Your projected sales volumes should be based on a combination of historical sales figures, seasonal and market trends, predicted growth, the economy, marketing and/or promotions and any other relevant factors.
Audit stock regularly
Even with the right inventory tracking software in place, for effective small business stock control, you will still need to count your inventory periodically to confirm that the stock you have matches your reporting. Depending on the nature of your business, different techniques are used, including an annual, year-end physical stock take that counts every stock item. Another method is to complete ongoing spot-checks. This can be most useful for products that are fast moving and will identify stocking issues.
Practise FIFO
FIFO stands for “first in, first out” and this approach dictates that goods should be sold in the same chronological order in which they are purchased or manufactured. This is especially important for perishable stock items and is often standard practice for small business selling food (for example). However, it is also a good idea for non-perishable products as items stored for too long can become damaged, out of date and less desirable.
Use inventory tracking software
The right inventory tracking software will do the hard-work for you and keep track of the stock throughout your business in real-time. It will provide real business insights to inform your ongoing business strategy. Inventory tracking software will save you time and money.
For further information on how Foresiight’s inventory tracking software will enable your small business stock control, check out our flagship software ProfiitPlus.
