Certain types of goods require certain and sometimes strict storing requirements. I would assume that you’d already be knowledgeable of this when you started in your business, however it doesn’t hurt to repeat here some of the considerations. Not just that, but there are also types of goods that require to be transported by only certain means (certified carriers for fuels and so on) and only by defined types of carriers (consider this for say gas for instance, something with high temperature etc.) Continue reading
Author Archives: Karl
Stock levels in general for optimization
In your everyday business, in your everyday production you no doubt understand the need for certain levels of stock. You’ve got your orders coming in and as they come, you can see what you need more often and what’s left standing for a longer period than you’d expect. Those moving positions are what you need to keep up and make sure your positions meet the demand. Continue reading
Recognizing supplier bonuses
Supplier bonuses are pretty useful things if you can negotiate those with yours. Primarily they help you reduce your cost for materials you’re using, for services you’re buying and so on. Continue reading
Treatment of materials in production
Materials in production are what the finished product consists of. Materials and time spent on putting them together. In production you use two types of materials – those that the product mostly consists of and side materials to help you to put the product together, i.e. glue, screws and so on. When we talk about ‘treatment of materials used in production’ in accounting terms, we talk about the usage of materials and their cost. Continue reading
Payment terms with customers
A key thing to remember with payment terms to your customers is that don’t ask less than what you yourself are given. If your suppliers ask for 10 days to pay up, so should you. Or at least consider it before opting for longer payment terms with your customers. Continue reading
Bonuses paid to customers
Bonuses paid to customers are in some industries more common than in others. For instance where it’s often seen is with wholesale merchants and manufacturers. They drive on quantities since it gives them efficiency when we talk about manufacturing and better deals when we talk about companies who buy items in bulk to wholesale them further to stores for an example. In some industries it’s important to give your customers bonuses based on some predetermined conditions to keep your own business flourishing. Continue reading
Non-monetary assets and foreign currencies
Say that you acquired an asset, a printer for an example and the price was paid in foreign currency as opposed to your functional currency. It is perfectly normal for such transactions to take place and as a matter of fact there’s nothing complicated about it. Continue reading