Many accounting software packages currently available do not cover the needs of wholesalers. There are many standard software packages for retail and manufacturing, but wholesale business requires deeper functionality in certain key areas of business. So how do you find the right accounting software for your wholesale business? Start by taking a look at your overall needs, then survey the market. Research some options, ask for some advice, and try them out.
The four main business areas that every Enterprise Resource Planning (ERP) software for wholesalers and distributors should provide are:
The ERP for wholesalers and distributors should also provide: business platform capabilities, location-specific functionalities, and use an integrated selection of different software packages.
Here are some tips for each area of your wholesale business. Wholesale business is complex. Cover all your bases.
Keeping a handle on your distribution involves covering all bases; from Distribution Requirement Planning (DRP) through Sales and Purchasing. Don’t forget to monitor your quality and above all to take care of your customers with an effective CRM system. If you haven’t already got software for these take a look at some options for CRM first. Remember your customer always comes first.
SCM functionalities should be deeper for wholesale than most standard ERP packages offer. You can think of expanding your wholesale business by offering drop shipping to your customers.
Drop shipping is an SCM method in which the retailer does not keep goods in stock but instead transfers customer orders and shipment details to you, the wholesaler. You then ship the goods directly to their customer. For a wholesale-only business drop shipping can be a good strategy for finding new customers through existing channels. Shopify is a great example of a business that successfully uses drop shipping.
If your wholesale business is not partly or fully online yet, make the transition. Global B2B giants that started off as SMEs, like Alibaba have pioneered online wholesaling. Going online will help your business by:
Centred in your back-office operations, accounting for wholesale may require different systems for management and running a business. Three areas are key for your wholesale company to run their back-end operations:
Covering all bases for a complex wholesale business means that you will need to find a selection of software packages and integrate them. Then you and your staff will have to learn how to use them effectively. There are some great options out there. Go and take a look.