Technology has completely transformed the way owners run their businesses, including the practice of inventory management. IT inventory management can improve efficiency and help businesses operate lean. Inventory is one of the company’s largest expenses, so managing it properly is critical to operations and the bottom line. Utilizing inventory financing can help companies free up cash flow to invest in other growth avenues, such as IT inventory management systems. At Kickfurther, we help businesses obtain affordable inventory funding without giving up control of their company and working capital. As a non-dilutive funding solution, companies can take advantage of flexible repayment schedules and a platform that showcases their products to attract partners who love what they do.
Ensuring you properly manage your inventory is an important first step before obtaining inventory funding. Here’s what you should know about IT and how it can improve inventory management.
How IT Can Improve Inventory Management
Advanced inventory management systems can reduce errors while helping businesses operate more efficiently. When it comes to managing inventory, there are a lot of moving parts to compartmentalize. Trying to manage it manually is possible. However, it is nowhere near as detailed or effective as using an IT inventory management system. From demand forecasting to reports at the click of a button, investing in ways to improve inventory management will pay off in the long run. Here are some highlights on how IT can improve inventory management.
- Automation of tasks: IT inventory management can automate tasks that once required human labor. From counting inventory to notifying when it’s time to reorder, advanced IT inventory management systems can do it all. Additionally, they can track demand, seasonal trends, and just about anything you program them to be capable of. As you shop inventory management systems, drill down on your needs and see how the system can be customized to meet your needs.
- Better accuracy: When it comes to inventory, accuracy is extremely important. Accurate inventory counts can help you determine when to reorder, identify loss faster, and predict seasonal demands. Advanced IT systems can possess sophisticated forecasting models that can help you stay one step ahead, thus improving efficiency and cash flow.
- Improved insights: When making business decisions, you need the right information. IT inventory systems can provide detailed reports and insights that can help you identify trends and make better business decisions. Systems can adapt to your business to provide forecasting predictions that would be extremely labor-intensive for a human to replicate. While IT inventory systems can deliver valuable insights, you will want to know how to interpret them to leverage the information properly.
The Benefits of Using IT for Inventory Management
- Reduced costs: IT can help businesses to reduce costs by automating tasks, improving accuracy, and providing insights. While human labor is often still needed, you can upgrade the type of labor you need, thus employing more educated individuals to help you monitor your biggest asset. With the information provided by the inventory management system, you can improve management information systems and inventory flow to reduce costs even more.
- Improved customer service: IT can help businesses improve customer service by ensuring they have the products that customers want when they want them. When the online platform says you have the product in stock, you really should. With an IT inventory management system in place, you can avoid losing a sale or not being able to deliver for a customer due to a wrong inventory count. Additionally, IT inventory management can help you fulfill orders faster. From the speed you receive orders to the preciseness of finding where the inventory is located, you can create a seamless internal process that will impact the customer’s experience.
- Increased efficiency: IT can help businesses increase efficiency by streamlining processes and reducing errors. Efficiency is important when it comes to managing the operations of a business, including inventory. You want processes to make as much sense as possible. IT inventory management systems can help you stock just the right amount of inventory, provide notifications when it’s time to reorder, provide exact inventory locations, and so forth. All of which are examples of how it can increase efficiency.
- Enhanced decision-making: IT can help businesses make better decisions by providing them with real-time data and insights. Learning how to customize and understand these insights will be important. Forecasting demand is a game changer when it comes to stocking the right amount of inventory and avoiding obsolete inventory or dead stock.
Closing thoughts
Inventory can consume cash flow. To support growing operations, you will need plenty of cash on hand. You can free up cash flow and invest in growth operations by using inventory financing. While this sounds like an ideal solution, it may be one you have explored, only to be detoured by high costs and barriers. Founded by an entrepreneur who once encountered similar challenges with inventory financing, Kickufurther is designed to truly help small businesses grow by providing the funding they need at a price they can afford.
How Kickfurther can help
Inventory funding can help you keep more inventory on hand while maintaining a healthier cash flow. While inventory funding comes at a cost, it can still be worth it. At Kickfurther, we are proud to offer authentic care for community business owners and backers while delivering funding up to 30% cheaper than comparable options. Kickfurther funds up to 100% of your inventory costs on flexible payment terms you customize and control.
Need more reasons to choose Kickfurther?
- No immediate repayments: You don’t pay back until your new inventory order begins selling. You set your repayment schedule based on what works best for your cash flow.
- Non-dilutive: Kickfurther doesn’t take equity in exchange for funding.
- Not a debt: Kickfurther is not a loan, so it does not put debt on your books. Debt financing options can sometimes further constrain your working capital and access to capital or even lower your business’s valuation if you are looking at venture capital or a sale.
- Quick access: You need capital when your supplier payments are due. Kickfurther can fund your entire order(s) each time you need more inventory.
Kickfurther puts you in control of your business while delivering the costliest asset for most CPG brands. By funding your largest expense (inventory), you can free up existing capital to grow your business wherever you need it (hint: inventory management system).
