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Examples of inventory items for a contracting business

Most general contractors and remodeling contractors don't have, or track, inventory. But if you're an electrical, mechanical, or roofing subcontractor, or a specialty subcontractor specializing in siding or skylights, for example, you'll probably have a use for tracking inventory.

You can set up inventory items to track the materials you stock so you'll know when it's time to reorder them. You can keep track of how many parts are in stock after a sale, how many you've ordered, the cost of the goods you've sold, and the value of your inventory. You'll use purchase orders to track the materials you've bought, and invoices to record sales of materials. Just remember to use the same inventory part item on both invoices and purchase orders.

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