Too Much Inventory Can be Lethal for a Business

[Hate2Wait]

In business we also need to see if we don't have a huge inventory and should plan it as per our sales otherwise our capital will get locked for a long time and will result in lower profits or even losses.

 

[hastral45]

It can't be lethal to the progress of the company rather it would help the company to grow. It prevents theft and corruption and also reveals the status of the company.

 

[Hate2Wait]

LOL what if you have $300000 working capital and you invest $299000 in stocks how will it help you? How will you pay for other things?

 

[Shavkat]

In my opinion, if a person keeps on doing inventory every day, he or she is just cheating himself or herself. It wasted the time instead doing other things.

 

[Hate2Wait]

It would be a bad idea and can even put locks on the business as the capital will be locked in the inventory and not available for important things

 

[AmazingJob]

In business we also need to see if we don't have a huge inventory and should plan it as per our sales otherwise our capital will get locked for a long time and will result in lower profits or even losses.

The ideal business is to have at least moving items in the inventory. If they have at least enough, they can stop accepting items from their suppliers first until they can tell that the last few stocks will be sold out in a given week or 2 weeks. Or depending on the items. But yes, it will decrease its value over the course of time.

 

[flower]

The business inventory is crucial to the profitability of a business because if it has a variety of goods to sell then there's every possibilities that it is going to be successful.

 

[Reedex]

It is extremely necessary to check the inventory of any business before patronizing them and that is why each and every business is that wants become very successful should create a very good inventory.

 

[Bisolami]

It can't be lethal to the progress of the company rather it would help the company to grow. It prevents theft and corruption and also reveals the status of the company.

And this is why most companies or businesses are always making inventory a lot of times.

 

[Magnus2022]

Production should be simple and easy to manage and maintain. An entrepreneur should not waste his time on inventory except you have achieved some level of success that can sustain the inventory.

 

[Golden9]

Too much inventory is indeed bad especially if it's a new business. It's a good idea to have money to buy more when necessary, but it's just a bit of everything until you discover what works.

 

[Shavkat]

Too much inventory is indeed bad especially if it's a new business. It's a good idea to have money to buy more when necessary, but it's just a bit of everything until you discover what works.

It is also nice if they have a regular supplier. They can just order goods if it is necessary. It is a matter of knowing the urgency.

 

[timewo]

For domain investors who have to pay a renewal fee every year, keeping inventory is very expensive, since they can make a business loss if there are no sales.

 

[nomad]

How bug your inventory should be depends on how many products you are selling. Your capital also determine your inventory size.

 

[Kera]

In the place I work, inventory is driven by data. It is based on sales stats that inventory are ordered.

 

[cherry123]

Yes, get your inventory but not dsiku so that your capital will be locked in the inventory as you can do other things with if

 

[freelancermaria]

It is essential to maintain inventory for products that sell quickly in your business. Avoid stocking excess inventory for items that have low sales.

 

[Sawe]

Yes, having too much in stock that cannot be liquidated is not good in business. You will have your money waiting for too long to be turned into cash. That is something that could potentially make you financially unstable in business.

 

[Ratine]

That's very real for that matter. The business manager should be very keen on stocking the most hot cake goods on the business.

 

[Sanjeev]

Yes, it is not good to block your money in keeping inventories. That's why most of the companies decide inventory norms and once the inventory increase the norms, the purchase is cut down if talk about the raw material.