The success of a small business depends on the proper management of its resources. Studies indicate that most small businesses fail. A major reason for the failure is poor recordkeeping practices, which results in frequent occurrences of stock depletion, careless invoicing and subsequent loss of customers and business. This kind of failure can be avoided by proper inventory management.
Small business inventory management software usually includes basic inventory management features such as serial number generation, stock level monitoring, barcode scanning, and item cost tracking. It may be used to display information such as product sales history, item location, and sales tax. Through the software, one can keep track of purchase orders, received goods and taxes paid on the goods. The software can be programmed to automatically prepare purchase orders for some specific items. Small business inventory management software also handles the sales part of the business. It keeps track of the sales price, sales quantities, customer information, invoices, goods returns, shipping cost, sales tax, and payment method. The software can be used to produce a variety of reports such as inventory summary, customer-wise sales report, outstanding orders, detailed sales list, bill of materials and sales tax report.
Small business inventory management software may turn out to be the best investment a small business can make. This kind of software is usually inexpensive and therefore not hard on the budget. Additional hardware and software required for supporting it are also available at reasonable rates. The software is generally easy to operate and maintain, and there is no need for high-end training. However, a company wishing to purchase small business inventory management software should acquire it based on current as well as future requirements.