If you sell physical products, Finocket tracks how many you have: turn on stock tracking for a product and every sale draws it down automatically, purchases and adjustments add it back, low stock flags itself — with batches, expiry dates and godown-wise locations when you need them.
Turn on stock tracking
Open a product under Products (its type must be Product, not Service) and switch on Track inventory. Give it an opening stock (how many you hold now, and the as-of date), an opening cost per unit (used for valuation), and a reorder level — the quantity at which it should flag low (leave 0 for no alert).
How stock moves
Sales are automatic: a tax invoice or bill of supply with a tracked product draws that quantity out; a credit note (sales return) puts it back. Estimates and challans don't move stock — only a real sale does.
For stock coming in, record the purchase: when you add an expense, open the Stock items section and add the products, quantities and cost — Finocket adds them to stock at that cost, keeping valuation accurate. For a one-off correction or physical count, use Add / adjust stock on the Inventory screen: Stock received for a purchase, or Adjustment to add or remove with a reason. Moving stock between godowns is its own Transfer button beside it.
Every product has a full movement ledger — opening balance, each sale, return, purchase, adjustment and transfer — so you can always see how a balance got where it is.
What your stock is worth
Each product carries a weighted-average cost by default: stock added at a cost blends into the running average, and stock going out is valued at that average (never the sale price). The Inventory screen shows a value per product and the total stock value, recomputed as you buy and sell.
FIFO valuation (choose per product)
On a stock-tracked product you can switch Valuation method to FIFO (first-in, first-out): each sale is costed against your oldest stock first, so what's left on hand is valued at your most recent purchase costs. Weighted average blends every cost together instead. It's a per-product choice — existing products stay on weighted average until you switch one, and nothing you've already recorded changes. Both methods are computed to the paisa from your movement ledger, and your Profit & Loss and Balance Sheet value closing stock by each product's chosen method.
Serial-number tracking
For high-value goods like electronics or appliances, switch on Track serial numbers for the product. Enter a serial for each unit when stock comes in, and pick the exact serials when stock goes out. Each serial walks a simple lifecycle — in stock → sold → returned — and a serial that has been sold can never be sold again, so your unit-level records stay honest.
Batches & expiry dates
For goods with a shelf life, add a batch with its number and expiry date, then tag received stock to it. The Inventory screen shows an Expiring soon alert listing batches near or past expiry with the quantity still on hand — clear or return them in time.
A batch can carry its own cost, MRP and GST rate - set one when you add it. And when you bill a batch-tracked item - from the invoice screen, your till, a recurring invoice or the API - Finocket automatically records which batch it came from, drawing from the one closest to its expiry date first (FEFO) so older stock clears before newer stock. There's no picker to choose a different one yourself yet, and a marketplace order doesn't get this - useful mainly for a pharmacy or anyone else tracking expiry closely.
Godown-wise stock
Add a godown for each warehouse or location and tag movements to one, so you can see what's where. To move goods, use Transfer: pick the product, from- and to-godown and quantity — Finocket records a matched pair of movements, so total on hand is unchanged; only the split moves.
What is each location's stock actually worth?
Reports → Stock by location breaks your closing stock value out by godown, priced at that location's own weighted-average cost — never blended with another one's. A shop that buys fast at a higher rate and a warehouse that buys slow at a lower one are shown separately, so the figure for either place is one you could actually check against what it paid. Stock recorded with no godown is real but isn't at anywhere, so it doesn't appear on this report — see the total on the main Inventory screen instead.
Pharmacies: Schedule H, H1 and X drugs
If your workspace uses the pharmacy catalogue kit, the item form has a Drug schedule field - Schedule H, H1 or X. When a marked item is in a sale, the till and the invoice form show a note asking for the patient's name, the prescriber's name and registration number, and an optional photo of the prescription. This is a record-keeping aid: it never stops the sale, and it does not check the prescription for you. A sale made without the details is still recorded, marked "Not noted", so a gap is visible rather than hidden. Reports → Prescription register lists those sales by date with the drug, quantity, batch and prescriber, and downloads as CSV. Whether and how you must keep a register is for you and your pharmacist to confirm.
Once your workspace uses the pharmacy catalogue kit, the Items screen and its "New" button also say Medicine and Medicines instead of the generic "Item" and "Items & Services" - the same screen, in words a pharmacy recognises.
Sizes and colours — the matrix
For goods that come in sizes and colours, give a style its axes on the Matrix screen and one product is created per cell. The grid then shows what is on hand for every size and colour of that style, sizes across and colours down, and the same grid is how you type a purchase order for the style and record what arrived against it.
Seasons — grouping a range
A shop that plans in ranges — AW26, SS27 — groups products into a season so it can read how a whole range did rather than one product at a time. A season is set on the style, so every size and colour of that style moves together and cannot end up split across two seasons. Products are added to one in bulk, because that is how a range is planned.
The dates on a season are for your own reporting. Nothing switches off when a season ends and nothing is hidden — taking a range out of its season is something you do deliberately, after a markdown. The count shown against a season is the number of products, not styles: a style with forty variants counts as forty, which is what you are actually holding.
Access & control
Owners and assistants manage products, movements, batches and godowns; an invited accountant sees stock levels, valuation and ledgers read-only. Inventory is a module — turn it on under Settings → Modules & features.
Related: Sales & purchase orders, Closing stock & COGS.