Inventory Tracking Software For Small Business: Features, Pros-Cons And Efficiency

Features:

Real-time inventory tracking.

Automated stock level alerts.

Process tracking, purchase orders, comparative statements

Integrated accounting and invoicing.

Multi-location tracking.

Cloud-based access with mobile compatibility.

Pros:

Comprehensive inventory and business management.

User-friendly dashboard.

Comes with scrap or dead stock management

Scalable solution for business growth.

Excellent customer support.

2. Zoho Inventory

Zoho Inventory is a popular choice among small business owners who are just starting out. Its integration with major eCommerce platforms makes it particularly useful for online businesses.

Best for: Businesses looking for a free plan with solid features.

Features:

Multi-channel selling.

Barcode scanning.

Sales order management.

Integration with eCommerce platforms.

Pros:

Offers a free plan with basic features.

Easy integration with online stores.

Includes automation features for stock management.

Cons:

Free plan features are limited.

As business grows, pricing can become a concern.

3. Sortly

Next on the list of best inventory tracking software for small businesses is Sortly. Founded in 2012, Sortly offers a visually appealing interface that makes it easy to manage inventory, even for those with little technical expertise.

Best for: Small retailers and service-based businesses.

Features:

Visual inventory tracking with photo support.

QR code and barcode scanning.

Cloud-based storage.

Customizable inventory fields and data-rich reports.

Pros:

Intuitive interface designed for ease of use.

Mobile-friendly application.

Quick and simple setup.

Cons:

Reporting options are limited.

Basic analytics compared to more comprehensive systems.

4. Square for Retail

Square for Retail is designed specifically for retail operations. Its seamless integration with Square POS ensures that sales and inventory data are always in sync, providing real-time insights into stock levels.

Best for: Retail businesses using Square POS.

Features:

Automatic inventory sync with sales.

Purchase order management.

Vendor tracking.

In-depth sales analytics.

Pros:

Seamless integration with Square’s POS system.

Detailed inventory analytics.

Affordable pricing for small retailers.

Cons:

Best suited for businesses already using Square POS.

Limited functionality for non-retail businesses.

5. Odoo Inventory

Odoo Inventory is a robust solution that is particularly appealing to businesses with a technical team. Its open-source nature allows companies to tailor the system to their specific needs. While the community version is free, industries that require more advanced functionality may need to invest in additional modules.

Best for: Businesses looking for an open-source solution.

Features:

Comprehensive warehouse management.

Multi-location tracking.

Barcode scanning.

Free community version available.

Pros:

Open-source and highly customizable.

Scalable to meet various business needs.

Free version available for cost-conscious users.

Cons:

Requires technical expertise to customise and maintain.

Advanced features may require paid add-ons.

6. Cin7

Cin7 is ideal for businesses looking for a highly automated system. It's robust analytics and smart fulfillment features help companies reduce the risk of human error and improve overall operational efficiency. However, the higher cost and complexity may make it less suitable for very small businesses.

Best for: Businesses needing advanced automation features.

Features:

End-to-end inventory and order automation.

B2B eCommerce integration.

Real-time stock tracking.

Smart fulfillment solutions.

Pros:

Advanced automation capabilities that reduce manual intervention.

Robust analytics for tracking inventory performance.

Cloud-based and highly scalable.

Cons:

Pricing can be expensive for small businesses.

Implementation and setup can be time-consuming.

7. inFlow Inventory

inFlow Inventory offers a comprehensive solution for businesses that require detailed inventory tracking and reporting. Its ability to handle multi-currency transactions and bulk order management makes it a strong contender for wholesale and manufacturing sectors.

Best for: Wholesale and manufacturing businesses.

Features:

B2B portal for managing bulk orders.

Automated reordering.

Barcode scanning and reporting tools.

Multi-currency support.

Pros:

Tailored for wholesalers with specific inventory needs.

Excellent reporting and analytics tools.

Mobile-friendly application.

Cons:

Higher learning curve compared to simpler systems.

Pricing may be prohibitive for startups with limited budgets.

Is There A Free Small Business Inventory Tracking Software?

Many small businesses start with free inventory management solutions, but they often come with trade-offs.

Pros of Free Software:

No upfront cost, which is ideal for startups.

Basic inventory tracking features.

Suitable for small-scale operations with limited stock.

Cons of Free Software:

Limited functionality and scalability.

Fewer automation features.

Often lacks dedicated customer support.

While free solutions can help a small business get started, they typically lack the advanced features needed to scale. Eklayva eAIMS, on the other hand, offers dual benefits of one asset management alongside inventory tracking in one software. Isn’t that a better deal? For more details, contact us here.

Can I Use Excel For Inventory Management?

Yes, Excel can be used for small-scale inventory management, but it has its limitations.

There is no automation. So, all updates are manual.

There is a high risk of human error in data entry.

Difficult to scale as business operations expand.

For very small businesses or startups, Excel is an excellent start. However, as your inventory grows and tracking becomes more complex. Therefore, If you find that managing inventory in Excel is becoming time-consuming or error-prone, it is time to upgrade to a dedicated system. A dedicated inventory tracking software can save time and reduce errors.

How To Choose The Best Inventory Tracking System For Small Business

Selecting the right inventory tracking software depends on several key factors:

Business Size & Needs: Retailers, manufacturers, and wholesalers have different needs.

Budget: Consider free vs. paid plans based on affordability.

Scalability: Choose software that can grow with your business.

Integration: Ensure it works with tools like payroll, accounting software, and eCommerce payment gateway platforms.

Ease of Use: A user-friendly interface saves time and reduces learning curves.

How To Evaluate Inventory Software For Your Business?

To evaluate your inventory software, ask these questions to the seller:

Usability: How easy is it to implement and use daily?

Automation: Does it minimise manual data entry and human error?

Customisation: Can it be tailored to your business operations?

Customer Support: Are there resources for troubleshooting and training?

Benefits Of Using Inventory Management Software

As a startup or small business owner, you may wonder: Why should I invest in small business inventory tracking software? Isn’t my manpower enough?

You would be shocked to know that 43% of small businesses faced issues with inventory not getting tracked. This is because they either use outdated or manual systems to track production, which results in the following:

Inaccurate data

Lost inventory

Losses in revenue

Human errors in tracking

More time consumption in adding RFID tags

Lack of Real-Time Visibility

Overstock and Understock Issues

But if you choose to opt for an inventory tracking software for small business, it can bring great benefits to your business by:

1. Automating Stock Tracking and Order Management

Inventory management software automates the process of tracking stock levels, sales, and orders. This lets you focus on strategic business decisions rather than being bogged down by manual methods.

2. Reducing Errors and Preventing Stock Shortages

By automating data entry and tracking, you minimise human errors that can lead to inaccuracies. Also, the software helps you track what’s available and what’s back-ordered, preventing situations where you run out of popular items or overstock items that aren't selling. Or you may end up selling more products than you have on hand, which can lead to unhappy customers and negative reviews.

3. Ensuring Product Quality Before it Reaches Customers

Having real-time inventory insights can significantly enhance your quality assurance processes. This is because the software keeps track of product movements so the quality officers can check if the product is in the right state or damaged way before it is shipped.

Suppose you run an eCommerce store where you get multiple orders from different locations. If you have warehouse tracking software, your quality team can monitor product movements. If a product is spilled or broken, they can identify it and change it to fresh one for the customers. This not only saves time but maintains your brand's reputation.

4. Saving Your Carrying Costs

Excess inventory costs money. You can reduce carrying costs by managing your stock efficiently, including storage, handling, insurance, and labour. Essentially, good inventory practices protect your profits.

5. Leveraging Better Terms with Vendors

With an inventory tracker, you know precisely which are hot-selling items and at what volume. As a business owner, you can use that information to negotiate by asking for:

Better pricing

Bulk discounts

Improved delivery schedules

Favourable payment credit terms

6. Improving Employee Productivity and Efficiency

Most of modern inventory tracking systems come with remote accessibility. According to ValuTrack, approximately 73% of companies are now planning to opt for mobile-based inventory solutions.

Now, what benefits can a small business avail itself of?

Firstly, your remote staff can scan products on their phone or laptop without being physically present.

Secondly, you as a business get to save a lot of time and paperwork.

Lastly, all the tedious tasks are automated so employees can redirect their efforts to more value-added activities.

Therefore,

Saved Time = Better Focus = Strategic Planning & Customer Engagement = Responsive and Healthy Work