Im a new member of this forum and Im happy I found it as it is really very good!
I would appreciate if anybody would advises me how should I post stock a takes ( journals/Sage ) of restaurants? We only started last week, so I have to set up everything from beginning. We are going to do the stock take once a week so, I need post these journals with opening balance and closing balance, please advise hot it should be done and if this is a good idea to post them once a week?
Thanks for your help.
-- Edited by Anna12 on Sunday 29th of May 2011 12:26:41 PM
I don't know the size of your restaurant operation but counting stock once a week seems to me rather a big and time consuming job, I would think once a month is the industry norm. Doing line checks weekly maybe but counting the whole stock wet and dry weekly, well it is up to you. Again I don't know how big the business is but maybe you should have a look at Fourth Hospitality's FnB Manager/FnB Shop, really good features, sales reports, you can set it up with certain type of cash registers to work automatically, enter reciepes, costings, calculates your stock and stock discrepancies,etc but you have to be a certain size to make it cost effective. Also you can do your ordering all from one place, etc. Also deals with your purchase/sales ledger. Stock valuation can be a nightmare especially with constantly changeing prices, I would definietly look for some automatic ways, Sage is not designed for that. Of course you can just journal in your stock valuation, and you will have to to complete your books but there are products out there which can help you a lot in understanding and cotrolling your stock. Sorry have to go will be back with what you need to do with journals.
Thank you for your replay, I do think that weekly basis stocktake is not a good idea but this is what my boss decided and I really believe he will changes mind quickly!
There is actually two restaurants which are busy and we have 60 employees
I would appreciate if you could get back to me with these journals I will have to post.
Dr Stock with your closing stock figure Cr Closing stock with the same
Beginning of next month:
Cr Stock with your closing stock figure what became now your opening stock Dr Closing stock with the same
Also don't forget at the beginning of the period you already have stock on hand what has to be entered.
I was working in the industry and know the problems with the weekly stock count and the time it consumes, not just the actual physical count but the valuation,too. Sometimes you loose more on wages than you gain with the knowledge. Monthly is plenty...if your boss suspects something is going wrong, line checks should be enough to discover mistakes made. I would really recommend FnB Shop for him. It is not easy to set up properly but they do it for you (tailored to your needs) and once it is up and running it is a GREAT help. This is the system most of the big restaurants/ restaurant chains use, looking at the names of their customers is a good reference. Again I am not sure how cost effective it would be for you.
Have you got sage cover? If so you should phone them up just to make sure you get the right advice. you should have an opening stock figure from the company accountant, you must had stock as asset on your last end of year accounts. I don't think you can just bring in extra £50k assets to the books with your stock valuation but I am not very sure and I am not entirely sure what sage does with the figures either. Also I think depending on the version you use you might have a stock wizard too. I believe your opening stock should stay the same - you need that to get the right end of year figures, your journals should only affect closing stock and stock so you can get a year to date figure but I don't really know what happens if you need numbers for period. Hmmm, sage coverf or maybe someone else with bigger knowledge can help you here... Sorry, I have ideas but really don't want to give you wrong advice.
Im a new member of this forum and Im happy I found it as it is really very good!
I would appreciate if anybody would advises me how should I post stock a takes ( journals/Sage ) of restaurants? We only started last week, so I have to set up everything from beginning. We are going to do the stock take once a week so, I need post these journals with opening balance and closing balance, please advise hot it should be done and if this is a good idea to post them once a week?
Thanks for your help.
-- Edited by Anna12 on Sunday 29th of May 2011 12:26:41 PM
Hi Anna,
When you say "we only started last week"...do you mean you only started the restaurant last week and you have an opening stock figure to enter, or do you mean you only started putting your accounts on Sage last week?
If you have an initial £50,000 of stock to enter then you just DR Stock on the Balance Sheet (1001 in Sage) and the CR entry will be part of Capital. (i.e. you will be entering it as part of an opening Balance Sheet Trial Balance).
If you have been in business for a while and are just entering accounts onto Sage for the first time, then this is easier if it is done at the beginning of your new financial year, in which case you will get a Trial Balance from your accountant to enter, and the stock will form part of this TB.
You really only need to record opening and closing stock on a monthly basis if you are doing management accounts, otherwise the accountant will take the figure at the start of the year for opening stock and the figure at the end of the year for closing stock.
If you are wanting to record opening and closing stock every month however, you will need to do the following journals:-
You need to reverse out the original opening stock so
DR 5200 Opening stock 50,000
CR 1001 Stock50,000
Then post the closing stock figures
DR 1001 Stock60,000
CR 5201Closing stock60,000
The following month will be DR 5200 60,000 and CR 1001 60,000 and DR 1001 with the new stock figure and CR 5201 closing stock with the new stock figure and so on.
Hope this helps and hasnt confused you further !
Pauline
Sorry about change of font, I copied and pasted from Word for the last bit in case I lost anything!!
-- Edited by Stardoe on Monday 30th of May 2011 08:32:06 PM
-- Edited by Stardoe on Monday 30th of May 2011 08:34:09 PM
Hi Pauline, The company started on 23.05.2011 so, I have to set up everything from very beginning. We had a guy today who did the stock take and will send me these figures tomorrow and I have to enter them into Sage. So, I hope I will be able to do it. I understand that the figures will be as follow: Opening stock e.g. 10000.00 Stock closing opening = stock 10000.00 + purchase invoice of the last week??
I have to enter the stock every month and Im really not too sure of it. Regards, Anna
Ok then you will need to enter all your assets and liabilities onto Sage so that you have an opening Balance Sheet. Your stock figure will be part of this opening Balance Sheet. I don't think it really matters about the purchase invoice for the week's stock as Sage doesn't update stock automatically, you have to enter stock adjustments manually. You will just need to do stock takes monthly and then do the journals I suggested above.
No, if you are accounting for stock in and stock out on a daily/weekly basis you need to have your products set up in Sage and you need to adjust quantities in and out through the individual stock records. This assumes that you are keeping track of your stock on Sage and not on another separate stock tracking software?
The opening and closing stock codes on Sage are only used for the opening and closing stock valuation at the end of a period.
