Shipfusion Blog / Inventory Management

What Is Economic Order Quantity and How to Calculate It

Economic order quantity

Inventory is one of the most important elements of any business. Finding the balance between having enough inventory to meet demand without overspending on excess stock is a constant challenge for businesses of all sizes. The concept of Economic Order Quantity (EOQ) helps tackle this …

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How To Use the Weighted Average Cost Method for Inventory

How to calculate weighted average cost for inventory

Proper inventory management is critical for ecommerce fulfillment, involving significant time and resources to ensure accurate accounting and efficient processing. Streamlining it through accurate tracking is essential — but valuing your inventory accurately is equally crucial. The We …

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Guide to Inventory Financing for Ecommerce Companies

inventory financing for ecommerce

Efficient inventory management is a cornerstone of ecommerce success - and this includes managing the costs that come with having inventory. Managing inventory costs can often present a significant challenge, impacting both cash flow and the ability to meet customer demand. Many ecomm …

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Guide to Inventory Loans for Ecommerce

ecommerce inventory loans

Inventory loans are a key financial tool for ecommerce businesses, used to acquire new inventory without threatening cash flow. Since ecommerce poses unique challenges, like changing customer demand, busy peak seasons, and the pressure to introduce new products, having the right amoun …

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Guide to Alternative Inventory Funding Options for Ecommerce

Inventory funding for ecommerce

It’s a necessity to have the right amount of inventory on hand when running an ecommerce business. That amount can change depending on circumstances, like seasonal peaks or launching a new product, and it's common for ecommerce businesses to secure financing to fund that additional in …

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How to Calculate the Reorder Point Formula for Ecommerce

An essential part of running an ecommerce business is finding the inventory sweet spot that results in having the right amount of stock without overstocking or running out of product. Too much inventory eats up warehouse space and can be expensive, while too little might mean you can’ …

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What Is A Perpetual Inventory System For Ecommerce?

Inventory is one of the most important elements of your business. But it can also be one of the most difficult to stay on top of. The most traditional way to maintain your inventory is through a periodic inventory system that requires consistent physical counts. A perpetual inventory …

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How to Calculate the Inventory Turnover Ratio for Ecommerce

Understanding and optimizing inventory is crucial for the continued growth of an ecommerce business. A physical storefront wouldn’t pile up unsold items forever or leave parts of the store bare. Your ecommerce store should also avoid the pitfalls of overstocking or understocking. But …

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How To Calculate the Ending Inventory Formula for Ecommerce

Handling ending inventory can be tricky, especially since it comes at the end of the financial year when ecommerce businesses are also trying to maximize end-of-year sales and putting together inventory reports. However, mastering the ending inventory formula can bring a lot of value …

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How Warehouse Slotting Optimizes Order Fulfillment

In the fast-paced world of ecommerce, optimizing every aspect of operations is crucial. From inventory management to order fulfillment, each process offers opportunities for enhancing supply chain efficiency and increased profits. One such process, often overlooked but vitally importa …

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