For many small business owners Inventory and Stock Control can be daunting. Whether you are in the retail space or manufacturing, keeping control of your stock levels and the cost of that stock is essential to your business success and profitability.
When you understand the basic concepts of inventory movements and cost, this part of your business becomes much less daunting and can lead to some very profitable decisions.
Having the value of your stock on your balance sheet reconciled to your costs on your Profit and Loss will be required by your tax account at the end of the year. Once your inventory system is set up, providing these figures is just a matter of sending them the stock report.