You may not even be using a cloud accounting product, or you might be floating on a different cloud then Xero, but our job is to make you aware of all the possibilities out there. So if you are using Xero for your accounting, and you have merchandise you sell that needs to be tracked in terms of item quantities on hand, and/or the value of items on hand, then Xero’s tracked inventory feature maybe for you.
Unlike some other accounting solutions, Xero won't let you have a negative inventory quantity or balance.
On the other hand, if you sell merchandise before you purchase it, because you only buy-on-demand or manufacture-on-demand, or you have orders fulfilled from a supplier, then Xero’s tracked inventory feature isn’t for you. In these cases, you can choose to use Xero’s untracked inventory capabilities or consider using an ...