Kashflow - Showing Stock

[Sparetoolparts]

Hi Guys

I'm a complete beginner in accounts so anything above profit and loss is beyond my skill level (I am also too small to pay anyone for help), At present I am drop shipping goods on my E-Commerce website, so everything has been simple, a Sell Products, I then import the sales into Kashflow as a Paypal Transaction. I then order from wholesaler and pay the bill there and then. Then create a purchase invoice on Kashflow, I am not breaking down my invoices from the wholesaler and matching my sales to my stock purchases (Too much work and too few hours to do it in),I am simply recording the invoice as whole, then when I run my Kasflow Profit and Loss report i get a nice clear value at the bottom of how much I can pay myself that month.

My issue is now I have gathered up a fair few returned orders and some products I have also bought a small quantity of stock for quick deliveries on Ebay etc. My question is how do I record these transaction on Kashflow so not to affect my monthly profit and loss? I have approx £500-1000 worth of stock

 

[john1989]

It’s not entirely clear how you are recoding your stock. If you have been recording everything as purchases, but have stock, you will need to journal the value out of purchases and into stock.


Just an observation – your website is not compliant. It mentions your company but does not show your company registration number.

 

[Sparetoolparts]

Yes I've been recording everything as Purchases and when looking at my profit and loss at the end of the month, I factor in that although I spent £x on purchases £Y of that is stock so I mentally take note and base my salary accordingly

Ref Company Registration I must look into that

 

[john1989]

See this previous thread re company number

http://www.ukbusinessforums.co.uk/threads/company-number-on-website.251961/

 

[Sparetoolparts]

@john1989 for any future stock purchases, can I simply add them as journal entries? I see in Kashflow I have the option to not show the entries in P&L so this should solve my issues I hope

 

[john1989]

You should post the purchase invoice to the relevant account code.

Journal entries are usually for manual adjustments.