Career & Hustle

Tools

Inventory reorder planner

Work out when to reorder, how many units to buy, and the cash that order ties up.

Sales and supplier

Reorder when stock hits

Reorder point

112 units

More figures
Order quantity
120 units
Cash this order uses
$1,080.00

The new batch should arrive with about 7 days of stock still on hand.

Estimate from the numbers you enter. Not financial or tax advice.

Reordering too late creates a gap where you cannot sell. Reordering too much ties cash up in units that sit. The reorder point is the stock level that triggers the next order. The order quantity is how much cash you are about to commit.

The planner uses your daily sales, the supplier's lead time, and a safety buffer. It then prices the suggested order at your landed cost.

Lead time and buffer

Lead time is the number of days from placing the order to being able to sell it. The buffer is extra days for a late shipment or a busier week. Together they set the reorder point: when stock falls to that many units, you order.

If sales are uneven, use a cautious daily average rather than your best week. A reorder point built on a peak will make you buy a warehouse.

Cash is part of the order

The cash figure is the part founders skip. An order of a few hundred units can absorb the money you needed for ads or next month's fixed costs. Check it against the cash-flow planner before you send the purchase order.

Frequently asked questions

What is a reorder point?

It is the on-hand quantity that tells you to buy again. It covers the units you expect to sell while the supplier is shipping, plus a buffer.

How many days of stock should I order?

Long enough that you are not paying freight every week, and short enough that a slow month does not freeze your cash. Thirty days is a starting figure, not a rule. Change it and watch the cash line.

What if the supplier's lead time changes?

Update it. A reorder point from a 10-day lead time will stock you out when the same supplier starts taking 25 days.

Does this work if I do not hold stock?

The reorder point matters once units are yours. If a supplier ships each order directly, you do not have this stock decision. You still have the fee and ad-spend decision on the other planners.