Inventory falls under the Current Asset’s head of your company’s balance sheet and most important, it comprises a major part of the ongoing business operations. While a shortage in inventory will ultimately impact the sales, an excess of inventory on the other hand will further lead to a hike in costs. Keeping a constant eye on the inventory can be a complicated process
In context of wholesale clothing business, inventory is the stock of clothes the wholesaler keeps in his storehouse. Having a good amount of inventory in your stock is good but at the same time a proper management of inventory is also a prime concern of any running business. Surf the net regularly to get more updates about the tricks to improve wholesale clothing business online. So here are a few tips and advices that might help you in keeping an apt amount of inventory in your store:
Hire an inventory control specialist
Yes, it will make you spend a few bucks but the investment is worth it. You have got to keep the record of sales, accounts, purchases, contacting the manufacturer and retailer, everything. So, it might get difficult for you to keep a track of inventory; the best is to hire an inventory control specialist who can do it for you.
Analyzing the Trend
Clothing industry witnesses frequent changes in style, pattern and color. The clothing lot you bought 6 months ago shall now not be of any use to you because it is out of trend! A common problem faced by wholesale clothing business dealers is “change in fashion trend”, while the old stock is still left over in the warehouse. Here making a wise decision is the call of the inventory! You should have only that much stock that you can sell unnecessarily adding up the clothing stock doesn’t make any sense.
It considers keeping a check on the inventory right from the time it is added to the stock till the time it is sold out. Thus, involves filling in the stock as soon as the old stock is over. Inventory forecasting is a consistent and continuous process of the company and ought to be done well. Order cycle needs to be kept in mind while doing inventory forecasting.
What you don’t have a tracking system for your wholesale clothing business? How are you going to keep a record of the manufacturers and suppliers? Don’t tell me that you do it all manually! That is squandering a lot of time then which otherwise you can invest in doing something really fruitful. A lot of software is available to simplify the work for you. Maintain a tracking system and database to manage your clothing inventory.
A proper inventory management system saves money and helps in earmarking bigger profits. We hope the provided points will help you in flourishing your wholesale clothing business by managing an important part of the business.
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