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1. Reordering by memory
Reordering from a feeling about what moved last week favours the products you happen to notice. Set a reorder level per item and let the low-stock list decide.
2. Treating all items the same
A small share of your items usually drives most of your sales. Those deserve tight tracking and buffer stock. Slow items deserve smaller, more frequent purchases.
3. Never counting physically
Book stock drifts from real stock through damage, samples and unrecorded returns. A rolling count of a few categories each month is far easier than one painful annual count.
4. Buying deep for a discount
A better rate on a large order is only a gain if the stock sells before it ties up cash you need. Compare the discount against how long the extra units will sit.
5. Ignoring dead stock
Items that have not moved in six months are unlikely to move at full price. Clearing them at a discount recovers cash and shelf space, which is usually worth more than the margin you gave up.
How Ratify helps
Ratify Inventory keeps stock updated as you bill, raises low-stock alerts against your reorder levels, and surfaces slow movers so you can act while the stock is still saleable.
This guide is general information for small businesses in India, not legal, tax or financial advice. For decisions specific to your business, check with your CA.
Written by
Ratify.ai Team
Practical guides on GST invoicing, receivables, stock control and AI for small businesses in India — written in plain language, no jargon.
Ratify Inventory
Stock that counts itself, and warns you first.
Know exactly what's in your shop, what's running low and what's not moving — and let Ratify suggest the next purchase before shelves go empty.