Monday 12 December 2011

Stock in your business

At A1 Financials, we are quite often reviewing stock with our clients. So is there a right level of stock?Stock levels are a key consideration as the incorrect stock level may impact on your ability to deliver your product on time, disappoint and you could lose sales.To establish an initial stock level, we believe that you should start by listing your requirements. At start up this will be established from your market research and vision or if you are purchasing an existing business, then it is usual to include the purchase of any stock at handover, but we suggest you keep your eyes open for potential obsolete stock. Once you have a list of your stock requirements, then you should seek suppliers of these products and negotiate the best deal for business. Talk to these suppliers as they may have tips to share from their experience and expertise, but take care it is not just sales techniques.Sometimes it may mean that instead of buying all your stock from different places just to save the odd penny on certain items, then you may consider the benefit of purchasing all stock from a few suppliers to maximise your ordering time and benefit from either combined or free delivery costs. But again supply is critical, so don't put all your eggs in one basket.

No comments:

Post a Comment