Hi We are running a small business. We cannot afford more money, so we got Cash register instead of Point of Sale.. Now we need to keep track of Inventory. But I don't know how to do keep track of inventory using the Cash Register... Please share your thoughts.. Thank you...
The easiest way which I can see it is to keep a written list of everything in the store when you start in the morning. At the end of the day compare the sales on the register tapes with the list from the beginning of the day, and subtract the difference(s) with a calculator. This should tell you what you sold and the profit(s) which you made in what item(s). Plus which item(s) are selling the most.
Go to Staples, Office Max, etc., and they have small machines for adding quick inventory on shelves. Then you can compare this with your register sales. You can also use a computer for the shelf inventory. You can use low-cost software. You may already have it (such as something in Microsoft Office).
Most small business owners still manage without Point of Sale, it's a fairly recent invention really.
Remember one fundamental rule of successful business - never keep records you don't need. Because it's so easy to collect information these days, it's very easy to waste hours collecting information you don't actually need.
Ask yourself, why do you need to keep track of inventory? Are there tax reasons, or is it simply so you can re-order when stock gets low? How fast does your stock move? How big is your store?
If you have a small store, you may not need to track stock at all - just do a visual check of the shelves once a week so you can see what needs re-ordering. My friend started a store a year ago, and although her accounting system does track inventory, she finds she never looks at it - she finds that she already knows what sells and can see what she needs to order, just by working in the shop every day.
Thanks for your suggestion...Actually, we are running a medium business..There are more than 150 books,more threads,notions etc....Totally we have more than 2000 items..I need to keep track, so I can reorder them when the stock gets low...I agree with your point if its small its easy to keep track by working there daily...But its somewhat big....So I need some alternate option.
Actually my friend has about 3000 products in her store, you may be surprised how well you get to know it.
The main thing is to have products well laid-out in the store so that it's obvious at a glance when a particular shelf is too empty. She cleans the store herself once a week, and simply does a visual check while she's dusting.
That's exactly what my friend does, and she has a similar-sized operation to the OP. She finds it important to do a physical check on the stock once a week anyway, so it's very little extra work to note whether any items are getting low. She doesn't do a count, though, unless there's obviously only a small amount left.
As your friend is using a standard till, the next problem would be logging the items that sell. S/he will either have to input each item into the computer-based inventory program as each sale is complete, or keep a written note of each sale and update the PC at the end of the day.
My friend runs a specialist clothes shop and has no stock control procedure in place other than to look in the stock room at what is running low.
He has asked me to help him get selling online which I am now doing. The lack of inventory software is actually quite a hindrance as I have no idea what stock levels of the items being listed. Whilst it is not an issue for stock sold through the shop, it would be an issue for items purchased online as the customer would expect the item to be posted-out the same day & as the wholesalers are based over 65 miles away, stock is only purchased once a month (the city in which the wholesalers are all located has a congestion charge).