Inventory: Asset or Liability

Have you ever asked the question, "Is my inventory an asset or liability?"

Inventory technically is an asset to answer your question. Because you paid for the said inventory, there is value to it for your business and this constitutes it as an asset. Even the small office items and knickknacks not getting sold can be considered inventory depending on how you run your business. However, depending on the situation of your inventory, it can feel like a liability. Having too much or having a high attrition rate can devalue your inventory as an asset. With that said, you can mitigate attrition with a regular cycle-counts of your product and completing a complete store inventory every six months to a year. This will balance and give you a more enriching knowledge base of your inventory. Tune in next week to learn more about inventory attrition and how to mitigate it.

We at JP Virtual Consulting can help you get on the right track by helping you with setting up an effective inventory plan and execution of cycle-counts. Check out our inventory services here: https://jpvirtualconsulting.com/inventory

If you have any questions, please don’t hesitate to send us an email at jonathan@jpvirtualconsulting.com

What are You Counting On?

Hello everyone!

Thank you for joining me in Free Content Friday! The next few weeks we will dive into the inventory operations of a small business. To save you time, each of these articles will be short and sweet. If you have any questions beyond the article itself, please shoot me an email at jonathan@jpvirtualconsulting.com or give me a ring at (480) 630-5885.

I hope you enjoy the article and those to come.

Sincerely,

Jonathan

Owner
JP Virtual Consulting

When was the last time you did a full inventory of your product?

Inventory is a dynamic metric of every retailer or product specialist. Small business owners with a product are heavily impacted by the cost, quantity, and shrink. How do you keep it straight? Do you rely on your point of sale system, a third party, or have you made a system or process yourself? However you do it, having a very thorough knowledge base of your inventory can make or break your small business.

As some of you know, inventory is one of my favorite operations of a business. Here you can see and learn so much beyond the basics of the business your in. You get insight into others' thought processes, how they see the industry and the ingenuity behind each product. It's a fresh take on the daily thoughts we typically have as business owners. However, without proper management, inventory can also have a painful bite at the end of the month if your counts don’t match your inventory's database. Inventory reconciliation can be a time suck, but it is worth taking the time to ensure an accurate count. There are many great resources out there to help you begin your journey in managing your product. There are people out there (like myself) who love doing these tasks and CAN SAVE YOU THE TIME so you can focus on profitable business actions or maybe on more free time? Wouldn't that be nice?

We at JP Virtual Consulting have an extensive and very successful background in helping businesses. Visit https://jpvirtualconsulting.com/inventory to see what we can do for you and your small business.

However you decide to take on your inventory, here are a few questions to ask yourself:

1. Where do I start with reconciling my inventory?
2. Does my point of sale system do an inventory analysis?
3. What is the value of my business's product as a whole?
4. How much of my product is aging past six months?
5. How much of my product becomes shrink?

If you have any questions on these topics or need assistance in completing your inventory's reconciliation, please send me an email at jonathan@jpvirtualconsulting.com or give Jonathan a call at (480) 630-5885.

Welcome!

Hi There!


Thank you for taking the time to visit my new blog. Here shortly, I will be posting weekly blogs every Friday on topics that bring new insights, practises, and strategies for the sole proprietor or single owner LLC business. Feel free to visit my website and social media pages attached below. Send any inquiries to the email attached. Thank you and have an awesome day!

Best Regards,

Jonathan

Owner
JP Virtual Consulting
jonathan@jpvirtualconsulting.com
jpvirtualconsulting.com

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