cancel
Showing results for 
Search instead for 
Did you mean: 
33degrees
Level 1

accounting for materials, products made to order

I've started a very small business that sells t-shirts with my own designs (consisting of artwork, text and/or photography).

 

Products will typically be MADE when ordered.

I will keep supplies on hand for making the t-shirts when necessary.


There won't be a standing inventory of products ready for sale - unless surplus from some previous order exists.

 

When a sale is made the supply items are pulled and the finished product is made and delivered to the customer.

 

The following supply items go into the product:

-- blank t-shirts. 1 individual blank is used to create 1 finished t-shirt.

-- ink, vinyl, paper, some misc supplies are all used in the production of a t-shirt. I cannot exactly track how much of these objects goes into 1 finished t-shirt.

 

How would you account for the purchase of these items, and then the subsequent use of these items?

 

What is the simplest way? I'm using DESKTOP PRO but I can upgrade if it makes life easier.

Thanks for your time.

4 Comments 4
Fiat Lux - ASIA
Level 15

accounting for materials, products made to order

Consider upgrading to QB Desktop Premier to utilize the Sales Order feature and manage your backorder process.

https:// quickbooks.intuit.com/learn-support/en-us/sales-orders/create-a-sales-order/00/203317

 

You may purchase a one time license of QB Desktop 2021 or QB Desktop 2020 at a lower price. Starting next month, they only offer QB Desktop 2022 with the subscription license.

 

33degrees
Level 1

accounting for materials, products made to order

 

From this article it seems the only real benefit to this [Sales Order - Invoice - Payment - Deposit System] would be..

 

"This way, you know what products you still need to buy from vendors, so you can complete your customer’s order on time."

Fiat Lux - ASIA
Level 15

accounting for materials, products made to order

There is no assembly feature on QBD Pro.

https:// quickbooks.intuit.com/learn-support/en-us/set-up-inventory-lists/track-the-products-you-manufacture/00/203722

 

33degrees
Level 1

accounting for materials, products made to order

Please refer to the Original Post. I'm looking for advice on how to account for these things in this particular situation. Please respond with an example of how you would account for these things. Thank you.

Need to get in touch?

Contact us
Sign in for the best experience
Ask questions, get answers, and join our large community of QuickBooks users.
Sign In / Sign Up