I went out yesterday and bought QuickBooks Pro to get my bookkeeping
in order and to get myself “professionally” organized. I had intended
to use the inventory feature for both finished goods and components.
Components can be combined, throw in a little labor and you have a new
inventory item of finished goods. Of course, in invoicing, balance
sheet and stuff are also important features, but I’m currently getting
by in Excel with that.
Almost exactly a year ago there was a discussion about accounting
software (QuickBooks, Peachtree) and tracking inventory. I wish I had
read that before buying and installing the software. Apparently the
inventory feature for QuickBooks is great if you are buying wholesale
then turning around and selling the same product at retail. And it’s
not really geared for one-of-a-kind items, which much of my stuff is,
or stuff I’m “manufacturing” from existing inventory items. Colene
Abramson provided some guidance on how QuickBooks may be made to
function for this purpose, and I’ll probably end up trying to
implement her suggestions.
My question is how do other people do it? By that I mean manage
inventory of stones, raw materials, findings and components and then
finished goods? Are people “flying by the seat of their pants” (on
instinct), or not bothering to determine a value of on hand materials?
To use the accounting terminology I’ve just learned, “current assets
that are not finished goods for sale.” What about the value of tools
and equipment? Do you just guestimate, or do you actually have a
detailed list and assigned value for significant tools and equipment?
Any suggestions, insights or advice are appreciated! Thanks, as
always… you people are AWESOME!
Dave - Wearing my accounting hat and it’s giving me a headache!
Sebaste Studio and
Carolina Artisans’ Gallery
Charlotte, NC (USA)