Allowing Negative Inventory
Enabling negative inventory is one of the inventory settings that allows creating invoices and issuing notes/ outbound requisitions for quantities exceeding the available quantity in stock. It is not recommended to activate this feature unless it is necessary and suitable for your business nature.
The Way the System Handles Products Dispensing in Case of Disabling the Negative Inventory
Click on “Inventory Settings” dropdown under “Inventory” in the main menu and then click on the “General” tab.
Make sure to deactivate the “Allow Negative Inventory” feature and click the “Save” button.
The product “Printer” is available in the inventory with 10 units.
When attempting to create an invoice for selling 12 units of the product “Printer”, it will show that the inventory will then be -2
When trying to save the invoice with this quantity, an error message will appear failing to save the invoice, and you should then adjust the quantity of the product intended for the invoice so as not to exceed the total product quantity in the inventory, i.e., 10 units.
The Way the System Handles Products Dispensing in Case of Enabling the Negative Inventory
In the case of activating the “Allow Negative Inventory” feature
The invoice quantity will be saved despite exceeding the quantity of the product “Printer” in your inventory.
And when checking the inventory quantity afterwards, you find the quantity -2.
