What is an Inventory Sheet?
An inventory sheet is a spreadsheet prepared by the company to record its beginning inventory, purchases, sales, ending inventory, inventory levels, and other related information about the business operations. This is important in order to not just know the inventory balances but also take control of the stocks.
Too little inventories would mean that you cannot satisfy the demands of your customers; therefore, missing out on the opportunity of additional sales. On the other hand, too much inventory may trigger profit losses because the products may expire, get damaged, or go out of season. With that, inventory control is vital, and this is when you need an inventory sheet.
How To Create an Inventory Sheet
While it is important that you have a deeper understanding of customer demand for your product, you must first have control and knowledge about your inventory count and inventory levels through your inventory sheet. For this reason, as early as now, you need to have an organized and well-formatted inventory sheet. To help you get the job done, you can refer to the following simple steps as your guide to your inventory sheet creation.
1. Open a New Spreadsheet
In your preferred device, using the software application of your choice or the program that you feel comfortable with (like MS Excel, Google Sheets, Numbers, or any other user-friendly application or program), open a new spreadsheet to start creating your inventory sheet.
2. Name Your Headings
A sample sheet consists of numerous columns. Depending on the nature of the business, the column headings may differ from one another. But the common headings that can be found in a generic inventory sheet are the following: item name, stock or serial number, cost per unit, quantity available, sales prices, minimum order quantity, order time, and supplier. Note that you can customize the headings depending on your needs and preferences or the type of business entity that you are managing.
3. Enter All Your Inventory Items and Their Details
Now that you have set up the column headings, you can now enter the information of your inventory items in their respective columns. This must be done in a specific period. For example, weekly, monthly, or quarterly, or when you have huge changes in your cost per unit or sales prices. Any changes to the inventory, whether purchases or sales, must be reflected in the inventory sheet in order to keep your simple sheet updated.
4. Finalize and Save
Lastly, recheck the sample document in case you miss some other items that you categorize as inventory and double-check if the digits you entered are correct and up to date. Then, make sure to save your work in an easily accessible place on your device. Although some companies still use printed inventory sheets and manually update them, it is vital that you save a soft copy so you can easily access and reflect the necessary inventory changes in the future.