Inventory Accounting

We track your materials, supplies, and inventory items with proper counts and valuations so your books reflect what you actually have on hand. This gives you accurate cost of goods sold and real profit numbers.

The Real Numbers

If you sell products or use materials in your work, your inventory is money sitting on shelves and in warehouses. Until those items are tracked properly, you do not actually know what your business is worth or how much profit you are making. Your bank account might look fine while your storage room is full of dead stock eating into your margins.

We set up and maintain inventory tracking that ties directly to your books. Every item purchased, sold, used, or written off is accounted for. Your cost of goods sold reflects reality, not estimates. Your balance sheet shows the actual value of what you have on hand, not a number someone guessed at six months ago.

Proper Valuation

We apply consistent methods to value your inventory. Whether you need FIFO, weighted average, or another approach that fits your business, the method is applied correctly and stays consistent. This matters for your financial statements and it matters when tax season comes around.

Cost of Goods Sold

Your profit is not revenue minus whatever you spent this month. It is revenue minus the actual cost of the goods you sold. We make sure COGS is calculated correctly so your profit and loss statement tells you the truth about how your business is performing.

Where Things Go Wrong

Most small businesses in Orlando that carry inventory start out tracking it in a spreadsheet or in their head. That works when you have twenty items. It falls apart when you have two hundred. You stop doing physical counts because it takes too long. You estimate what you have on hand. Purchases get recorded as expenses the moment you buy them instead of being recognized when they are actually sold or used. Your profit numbers drift further from reality every month.

The problems multiply from there. You order too much of something because you did not realize you already had plenty in the back. You run out of a popular item because nobody updated the count after the last sale. You look at your financials and the gross margin looks great one month and terrible the next, not because anything changed in the business but because the inventory numbers are off.

Shrinkage and Waste

Products expire. Items break. Things go missing. If you are not tracking inventory properly, you have no idea how much you are losing to shrinkage and waste. That loss shows up somewhere in your books but you cannot see it clearly enough to do anything about it.

Tax Reporting Risk

The IRS expects businesses with inventory to report it correctly. If your inventory values on the balance sheet do not match reality or your COGS calculations are inconsistent, you are exposed during an audit. Getting it right from the start is far less expensive than cleaning it up later.

Getting It Straight

We work with restaurants, retail shops, e-commerce sellers, and trades businesses across Central Florida that all deal with inventory in different ways. A restaurant tracking food costs has different needs than a retailer managing hundreds of SKUs. We tailor the tracking to fit how your business actually operates instead of forcing a one-size-fits-all system on you.

This ties into your overall bookkeeping. Inventory purchases, adjustments, and sales all flow into QuickBooks correctly. Your financial statements are reliable. When you look at your gross margin, it reflects what is actually happening. When you plan a purchase or negotiate with a supplier, you have real data to work with.

Smarter Purchasing

When you know exactly what you have, what is moving, and what is sitting, you stop over-ordering. You stop tying up cash in products that take months to sell. You buy what you need when you need it, and your cash stays available for things that actually grow the business.

Clean Records

Your inventory records match your financial statements. Physical counts are reconciled against the books. Discrepancies are investigated and resolved instead of ignored. You have a clear picture of what you own, what it cost you, and what it is worth today.

Central Florida's Trusted Bookkeeping Firm