The first FIFO COGS setup step involves selecting a FIFO starting date. The FIFO starting date is used to calculate your beginning inventory balance that will be used as the foundation for the FIFO inventory valuation. If you hold all of your inventory inside FBA then selecting a starting date is fairly simple. We recommend beginning at the start of the year. However, if you warehouse inventory outside FBA the further back you set the starting inventory date the more difficult it is to gather an accurate snapshot of your inventory at that date. Since Ecominate cannot pull your local inventory via any API, select the most recent date where you had a reliable local inventory count since that will be added to the overall starting inventory valuation.
How to select a FIFO Starting Date
Ecominate allows you to select a FIFO starting date on the 1st of any of the previous 12 months. Once you select a starting month, Ecominate will fetch the inventory FBA inventory balance from the beginning of the starting month and use this balance as the starting FBA point for Step 5. If you do not keep an accurate count of your local inventory going back to your starting date, then we do not recommend choosing a starting date far out in the past. Instead, choose the most recent starting date available. Once you select a FIFO starting date, you will be required to enter the local quantity you had available at the starting date so we can value your inventory.