Items & Inventory
"Items" are the products and services you sell or buy. Add each one once — its name, tax code, price and stock — and MGH Books drops it straight into invoices and bills, keeps a live count of what's on the shelf, and taps you on the shoulder before you run out. Whether you sell sarees, screws or services, this guide sets you up right.
Read this first — products vs services
- An item is anything you put on a bill — a physical Good/Product (it has stock) or a Service (no stock).
- Enter it once, reuse everywhere. On an invoice you just pick the item; its price, HSN and GST come along automatically.
- Stock is automatic for goods you choose to track — selling reduces it, buying increases it.
- Low-stock alerts protect your sales — set a reorder level and MGH Books warns you on the Dashboard before a best-seller runs dry.
- Stock tracking is per item. Turn it off for services or things you don't want to count.
- HSN/SAC and GST rate are your responsibility. The app suggests HSN codes, but you must confirm the correct code and rate for your goods.
- Opening Stock is for migration. Enter what you already hold when you start, so valuation and alerts are right.
- BOM & costing (build a product from raw materials, auto-calc cost/MRP) is Pragati+; multiple warehouses are Samridhi+.
Add an item — step by step
Open Items
Go to 📦 Items — your list with search and a type filter.
Tap "Add Item"
Enter the Item Name and choose Good or Service. Pick a Category (or create one, with sub-categories).
Tax & unit
Add the HSN/SAC (suggestions appear as you type), the Unit (pcs, kg, box…), and the GST Rate.
Pricing
Set the Sale Price, optional MRP, and Purchase Price (your cost — used for profit reports).
Stock & save
For goods: enter Opening Stock and a Reorder/Min Stock level, keep Track Stock on, then Save.
help-shots/it-01-list.png
help-shots/it-02-add.pngEvery field, explained
| Field | What it's for |
|---|---|
| Name & Type | What it is; Good or Service |
| Category | Group items (Finished Product, Raw Material, Trading Goods, Service…); supports sub-categories like "Apparel > Shirts" |
| HSN / SAC | Tax classification code (HSN for goods, SAC for services), with suggestions |
| Unit | How it's measured/sold (pcs, kg, box…) |
| GST Rate | Tax % applied on sale/purchase |
| Sale Price | Your default selling price |
| MRP | Printed maximum retail price (optional) |
| Purchase Price | Your cost — drives profit/margin reports |
| SKU | Your internal product code (optional) |
| Opening Stock | Quantity on hand when you start |
| Reorder / Min Stock | Triggers the Low Stock alert on your Dashboard |
| Track Stock | On for goods you want counted; off for services |
Stock & low-stock alerts
For items with Track Stock on, quantities update automatically: invoices reduce stock (sold), bills increase it (received). When an item drops below its reorder level, it shows in the Low Stock card on your Dashboard. For reports, stock value is calculated on a weighted-average (WAC) basis.
help-shots/it-03-stock.pngReal situations
📖 A product you stock
Kavita sells "Cotton Saree". She adds it as a Good, HSN 5208, GST 5%, sale price ₹1,200, opening stock 40, reorder level 10. As she bills customers, stock falls; at 10 left it shows in Low Stock so she reorders in time.
📖 A service you provide
An IT consultant adds "Website Maintenance" as a Service with SAC 9983 and GST 18%, and turns Track Stock off. It bills perfectly without any stock count.
📖 A manufactured item
On Pragati+, a workshop builds "Wooden Chair" from a Bill of Materials (wood, screws, polish). The costing calculator totals the input cost and suggests an MRP — so pricing isn't guesswork.
Words you'll see, in plain language
| Term | What it means |
|---|---|
| HSN | Harmonised System of Nomenclature — the GST code for goods. |
| SAC | Services Accounting Code — the GST code for services. |
| SKU | Stock Keeping Unit — your own code to identify a product. |
| MRP | Maximum Retail Price printed on the product. |
| Reorder level | The quantity at which an item is flagged "low". |
| WAC | Weighted Average Cost — how stock value is averaged for reports. |
| BOM | Bill of Materials — the recipe of raw materials that make a finished product. |
Troubleshooting
| What you notice | Why | What to do |
|---|---|---|
| Stock isn't going down on sales | Track Stock is off for that item | Edit the item and turn Track Stock on |
| An item shows as Low when it isn't | Reorder level set too high | Adjust the Reorder / Min Stock value |
| Not sure of the HSN/GST | Codes vary by product | Use the suggestion as a start, then confirm with your CA / the GST schedule |
| Opening stock looks wrong | Entered after some sales/bills | Correct Opening Stock; quantities recompute |
Best practices
- Set a sensible reorder level for fast-movers so you never stock out.
- Enter the purchase price — it powers your profit and margin reports.
- Use categories/sub-categories so reports group neatly.
- Import your full catalogue once via spreadsheet to save time.
FAQ
I sell services — do I need stock?
No. Mark it a Service (or turn off Track Stock); it still carries its SAC code and GST rate.
Where do I set the reorder alert?
In the item's Reorder / Min Stock field. Below it, the item appears in the Dashboard's Low Stock card.
Can I create my own categories?
Yes — add a category (and sub-category) while creating an item; it's saved for next time.
How is stock value calculated?
On a weighted-average (WAC) basis, used in stock and closing-stock reports.
- Sales & Invoicing → pick an item; price, HSN and GST fill in.
- Purchases → receive stock against items on bills/POs.
- Dashboard → the Low Stock card.
- Reports → Stock Summary, Stock Aging, ABC Analysis, HSN Summary, Closing Stock Certificate — see CA Reports.
📸 Screenshot capture checklist
Drop each PNG into help-shots/ with the exact filename and it appears automatically.
| # | Screen to capture | Save as |
|---|---|---|
| IT-01 | Items list (search + filter + Add Item) | help-shots/it-01-list.png |
| IT-02 | Add/edit item form | help-shots/it-02-add.png |
| IT-03 | Item stock level / Low Stock list | help-shots/it-03-stock.png |
Tip: use sample products with realistic HSN and prices in screenshots.