Inventory Management Software for Small Business: 10 Best Tools (2026)

Looking for inventory management software for a small business? This guide compares 10 tools by real criteria: setup speed, channel sync, barcode workflows, and transparent pricing.

You started your business selling 20 products. You tracked everything in a Google Sheet. It worked beautifully — for about six months.

Now you have 400 SKUs, two sales channels, a stockroom that looks like a game of Tetris, and a spreadsheet so bloated it takes 15 seconds to load. You've oversold twice this month. You just spent your entire Sunday doing a manual count. And that nagging feeling in your gut? It's telling you there's a better way.

There is. But the inventory management software market is a mess of enterprise jargon, inflated pricing pages, and "request a demo" buttons that lead to 45-minute sales calls. You don't have time for that. You need something that works, that you can afford, and that you can set up before your next restock order.

This guide is the one we wish existed when we were running our own small retail operations. No fluff, no vendor bias (we'll be honest about our own product too), just a clear-eyed comparison of the 10 best inventory management software options for small businesses in 2026.

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Quick Answer (TL;DR)

If you are a small Shopify-first retailer under 1,000 SKUs, choose the tool that gives you:

1. real-time sync across channels,
2. barcode scanning from a phone,
3. low-stock alerts,
4. clear pricing without mandatory demos.

For most small teams, a lightweight system you fully adopt beats a complex platform you only half use.

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How We Evaluated These Tools

This is not a single "best overall" ranking. We evaluated each tool by use case and scored them across the dimensions below:

• Use-case fit (35%): How well the product matches small business operational reality.
• Pricing transparency (20%): Public pricing, hidden implementation costs, and upgrade pressure.
• Implementation complexity (20%): Time to value, migration friction, and team training burden.
• Core inventory depth (15%): Sync reliability, barcode workflows, multi-location handling.
• Reporting quality (10%): Actionable reports for reorder and dead stock decisions.

We also reviewed public product documentation, pricing pages, and publicly available user sentiment (G2/Capterra/community forums) as directional validation, then mapped each product to the business scenarios where it is strongest.

Disclosure

StockPilot appears in this comparison. We disclose this because we may benefit if readers choose StockPilot. To reduce bias, we include where StockPilot is not the best fit.

Update Log

• 2026-02-14: Re-validated pricing ranges and clarified fit-by-scenario recommendations.

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Do You Actually Need Inventory Management Software?

Not every business does — at least not yet. If you sell 15 products on a single Shopify store and you restock once a month, a spreadsheet is genuinely fine.

But you've probably outgrown spreadsheets if any of these sound familiar:

1. You've oversold at least once. A customer ordered something you didn't actually have. You had to apologize, refund, and eat the shipping cost. If it's happened more than once, your tracking system is broken.

2. You manage 100+ SKUs. This is roughly where spreadsheets start breaking. Variants (size, color, flavor) multiply fast, and one wrong row means a cascade of inventory errors.

3. You sell on 2+ channels. Shopify plus Amazon? Shopify plus a pop-up? Every additional channel multiplies the chance of sync errors. A sale on one channel doesn't magically update the other — not without software connecting them.

4. You spend 5+ hours per week on inventory tasks. Counting stock, updating spreadsheets, reconciling orders, generating purchase orders by hand. If inventory management is eating into time you should spend growing your business, that's a clear signal.

5. You've experienced a "mystery shrinkage." Your system says 50, the shelf says 43, and nobody knows where the other 7 went. Without proper tracking, you'll never figure it out — and you'll keep bleeding margin.

If you checked two or more of those boxes, you're ready. Let's talk about what to look for.

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What to Look For: The 7 Must-Have Features

Not all inventory management software is created equal. Some tools are glorified spreadsheets with a prettier UI. Others are enterprise monsters designed for 50,000-SKU warehouses. Here are the seven features that actually matter for a small business:

1. Real-Time Stock Tracking

This is table stakes. Your software should show you exactly how many units you have — right now, not as of last night's sync. When you sell a unit on Shopify, that count should update instantly across your entire system. If there's a delay measured in hours, you'll oversell during busy periods. For more on why this matters, check out our guide on how to prevent Shopify overselling during Q4.

2. Low-Stock Alerts

You shouldn't have to remember to check stock levels. The software should tap you on the shoulder when a product is running low — ideally with enough lead time to reorder before you run out. Look for customizable thresholds (not every SKU needs the same alert level) and alerts via email, SMS, or push notification.

3. Barcode Scanning

Manual data entry is where inventory errors are born. The best simple inventory software lets you scan barcodes with your phone camera — no $300 handheld scanner required. This alone can cut your receiving and counting time by 70%. If you need to generate barcodes for your products, we have a free barcode generator that can help.

4. Multi-Channel Sync

If you sell on Shopify and Amazon (or Etsy, or a POS system, or your own website), your inventory tracking software needs to keep all channels in sync. When a unit sells on Amazon, it should decrement on Shopify. Automatically. In real time. This is the single biggest source of overselling for small businesses, and the single biggest reason to move off spreadsheets.

5. Reporting and Analytics

At minimum, you need to know: what's selling, what's sitting, and what's costing you money. Good stock management software shows you sell-through rates, inventory turnover, dead stock reports, and cost of goods sold. Great software tells you what to reorder and when.

6. Multi-Location Support

Even if you only have one stockroom today, choose software that supports multiple locations. You might add a second storage space, start selling at markets, or use a 3PL within the next year. Migrating to new software because you outgrew your old one is painful — and avoidable.

7. Integrations

Your inventory software doesn't live in a vacuum. It needs to connect to your sales channels (Shopify, Amazon, Etsy), your accounting software (QuickBooks, Xero), and your shipping tools (ShipStation, Pirate Ship). The fewer manual bridges you have to build, the fewer errors you'll introduce. If you're evaluating broader warehouse-level systems, our Ultimate Guide to Warehouse Management System Software covers integrations in depth.

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Top Inventory Management Software for Small Business (2026)

We've evaluated each tool based on ease of use, pricing, feature set, and real-world suitability for small businesses (roughly $100K–$2M revenue, 100–5,000 SKUs, 1–3 locations). Here's the quick comparison, followed by detailed reviews:

Comparison Table

Software	Best For	Starting Price	Free Tier	Multi-Channel	Barcode Scanning
StockPilot	Shopify retailers + expiry tracking	$0/mo	✅	✅	✅ (phone)
Sortly	Visual inventory (non-e-commerce)	$29/mo	✅ (limited)	❌	✅ (phone)
inFlow	B2B wholesale + manufacturing	$110/mo	❌	✅	✅
Cin7	Mid-size multi-channel brands	$349/mo	❌	✅	✅
Zoho Inventory	Zoho ecosystem users	$0/mo	✅	✅	✅
Fishbowl	QuickBooks-heavy businesses	$349/mo	❌	✅	✅
Lightspeed	Retail POS + inventory	$89/mo	❌	✅	✅
Square for Retail	In-person + online sellers	$0/mo	✅	✅	✅
Ordoro	Dropshipping + multi-channel	$59/mo	❌	✅	❌
Katana	Makers + manufacturers	$179/mo	❌	✅	✅

Now let's dig into each one. The order below is by fit scenario, not a universal "best to worst" ranking.

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1. StockPilot

Simple inventory software built for Shopify retailers who sell physical products — especially perishables.

• Best for: Shopify store owners who need real-time sync, expiry date tracking, and a tool they can set up in 5 minutes without reading a manual
• Pricing: Free tier available; Pro at $39/mo; Business at $99/mo
• Pros:
  • Dead simple setup — connect your Shopify store and you're live in minutes
  • Phone-based barcode scanning (no hardware needed)
  • Built-in expiry date tracking for food, beauty, supplements, and other perishable products — a feature most competitors charge enterprise prices for
• Cons:
  • Currently in early access, so some advanced features are still being built
  • Best suited for Shopify — if your primary channel is Amazon or eBay, other tools may be a better fit today
  • Newer brand, so community resources are still growing
• Our take: Yes, this is our product. We built it because we couldn't find a simple, affordable inventory tracking software that handled expiry dates without requiring a $500/mo enterprise plan. We're biased, but we're also honest about where we are — early access, Shopify-first, and growing fast.

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2. Sortly

Visual-first inventory management with photo tagging and QR codes.

• Best for: Small businesses that aren't primarily e-commerce — think equipment rental companies, property managers, small warehouses, or anyone who wants to visually catalog their inventory
• Pricing: Free plan for up to 100 entries; Advanced at $49/mo; Ultra at $149/mo
• Pros:
  • Gorgeous, intuitive interface — the easiest learning curve on this list
  • Photo-based tracking is genuinely useful for non-standard items
  • Custom QR code labels and barcode scanning via phone
• Cons:
  • No native e-commerce integrations (no Shopify, Amazon, or Etsy sync)
  • Limited reporting and analytics compared to e-commerce-focused tools
  • Not designed for high-velocity sales — better for asset tracking than order fulfillment

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3. inFlow

A desktop-rooted inventory and order management tool popular with wholesalers.

• Best for: B2B businesses, wholesale distributors, and small manufacturers who need purchase orders, sales orders, and inventory tracking in one system
• Pricing: Entrepreneur at $110/mo; Small Business at $279/mo; Mid-Size at $549/mo
• Pros:
  • Excellent B2B features — customer-specific pricing, quote-to-order workflows, invoicing
  • Solid barcode scanning with support for hardware scanners
  • Handles bill of materials for simple manufacturing/kitting
• Cons:
  • Interface feels dated compared to cloud-native competitors
  • Shopify integration exists but isn't as tight as purpose-built tools
  • Pricing has jumped significantly — no longer the "affordable" option it used to be

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4. Cin7

A full-featured inventory and order management platform for growing brands.

• Best for: Mid-size brands doing $1M–$10M in revenue across multiple sales channels, especially those selling wholesale + DTC
• Pricing: Standard at $349/mo; Pro at $599/mo; Advanced requires custom pricing
• Pros:
  • Deep multi-channel support — native connections to Shopify, Amazon, eBay, WooCommerce, plus EDI for retail partnerships
  • Built-in B2B portal for wholesale orders
  • Strong automation engine for routing, fulfillment, and reordering
• Cons:
  • Steep price point — hard to justify under $500K in revenue
  • Setup is complex; most businesses need onboarding support (which costs extra)
  • Can feel over-engineered for a small team running a straightforward DTC operation

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5. Zoho Inventory

A capable, affordable cloud inventory management tool — especially if you're already using Zoho.

• Best for: Small businesses already in the Zoho ecosystem (Zoho Books, Zoho CRM) who want a tightly integrated inventory solution
• Pricing: Free plan (50 orders/mo); Standard at $39/mo; Professional at $99/mo; Premium at $159/mo
• Pros:
  • Generous free tier — genuinely usable for micro-businesses
  • Excellent multi-channel support (Shopify, Amazon, Etsy, eBay)
  • Clean, modern UI that doesn't require a training manual
• Cons:
  • Power features (batch/serial tracking, dropshipping) locked behind higher tiers
  • Performance can lag with very large catalogs (5,000+ SKUs)
  • Best experience requires using other Zoho apps — standalone, it has gaps

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6. Fishbowl

The go-to inventory management add-on for QuickBooks power users.

• Best for: Small manufacturers, wholesalers, and retailers whose financial life revolves around QuickBooks and who need deep two-way inventory sync with their accounting
• Pricing: Drive (cloud) starts at $349/mo; Advanced at $549/mo
• Pros:
  • The deepest QuickBooks integration on the market — bidirectional sync for inventory, COGS, purchase orders, and sales orders
  • Handles manufacturing workflows (work orders, bill of materials, assemblies)
  • Mature product with a large user community
• Cons:
  • Expensive — the price has climbed steadily and there's no free tier
  • Interface shows its age; the UX isn't as polished as newer cloud-native tools
  • Implementation can be complex, especially for manufacturing workflows

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7. Lightspeed

A combined POS and inventory management platform for brick-and-mortar retailers.

• Best for: Retailers with physical store locations who need a POS system that doubles as cloud inventory management software — especially restaurants, apparel, and specialty retail
• Pricing: Basic at $89/mo; Core at $149/mo; Plus at $239/mo
• Pros:
  • Seamless POS + inventory experience — scan, sell, and track from one system
  • Built-in purchase ordering, vendor management, and receiving workflows
  • Strong reporting for retail-specific metrics (sell-through rate, margin analysis, staff performance)
• Cons:
  • E-commerce features feel bolted on rather than native — Shopify integration is limited
  • Pricing adds up quickly with add-ons (loyalty, e-commerce, advanced reporting)
  • Primarily designed for in-store retail, not online-first businesses

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8. Square for Retail

Free POS-based inventory tracking for small sellers who do both in-person and online.

• Best for: Micro-businesses and side hustlers who sell at markets, pop-ups, or a small storefront and also have a basic online presence
• Pricing: Free plan available; Plus at $60/mo/location
• Pros:
  • Free tier is genuinely useful — POS, basic inventory tracking, and an online store at $0/mo
  • Dead simple setup — you can be selling in person within an hour
  • Integrated payment processing (no third-party needed)
• Cons:
  • Inventory features are basic — limited reporting, no batch tracking, no expiry dates
  • Multi-location inventory management is only available on the paid tier
  • Payment processing fees (2.6% + $0.10 per transaction) add up — you're paying for "free" through transaction costs

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9. Ordoro

Multi-channel inventory and shipping management with strong dropshipping support.

• Best for: Online sellers managing inventory across multiple channels who also do dropshipping or work with multiple suppliers
• Pricing: Essentials at $59/mo; Advanced at $149/mo; Premium at $299/mo
• Pros:
  • Unified dashboard for inventory + shipping across Shopify, Amazon, eBay, and more
  • Robust dropshipping automation — auto-route orders to suppliers, track fulfillment
  • Includes shipping label generation with discounted USPS rates
• Cons:
  • No barcode scanning — surprising for an inventory tool in 2026
  • Interface can feel overwhelming with all features enabled
  • Less suitable for businesses with physical inventory that needs warehouse-level management

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10. Katana

Manufacturing-focused inventory software for makers, crafters, and small producers.

• Best for: Businesses that make their products — small manufacturers, food producers, cosmetics brands, craft breweries — who need to track raw materials, production workflows, and finished goods
• Pricing: Starter at $179/mo; Standard at $359/mo; Professional at $799/mo
• Pros:
  • Purpose-built for manufacturing — tracks raw materials, recipes/formulas, and production costs in real time
  • Visual production scheduling (drag-and-drop timeline)
  • Native Shopify and WooCommerce integration for selling finished goods
• Cons:
  • Expensive for early-stage businesses — the Starter plan alone is $179/mo
  • Overkill if you don't manufacture; pure resellers won't use half the features
  • Learning curve is steeper than simpler tools on this list

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How to Choose the Right Software (Decision Framework)

Ten options is a lot. Here's a quick way to narrow it down based on your specific situation:

Start with your primary sales channel:

• Shopify-first, DTC brand? → Start with StockPilot (especially if you sell perishables) or Zoho Inventory (if you need a free tier with multi-channel)
• Selling primarily in a physical store? → Lightspeed (established retailer) or Square for Retail (just starting out)
• Multi-channel (Shopify + Amazon + more)? → Zoho Inventory (budget-friendly) or Cin7 (if revenue justifies the price)

Then consider your business model:

• You resell products you buy from suppliers → Most tools on this list work. Choose based on channel and budget.
• You manufacture / make your own products → Katana (purpose-built) or Fishbowl (if you also need deep QuickBooks integration)
• You dropship (some or all products) → Ordoro is the standout here
• You do B2B wholesale → inFlow or Cin7

Finally, check your budget reality:

• $0/mo (just getting started) → StockPilot Free, Square Free, or Zoho Free
• $30–100/mo (growing but lean) → StockPilot Pro, Sortly, Zoho Standard, or Ordoro Essentials
• $100–500/mo (scaling operations) → inFlow, Lightspeed, Fishbowl, or Cin7
• $500+/mo (complex, multi-channel) → Cin7 Advanced or Katana Professional — or consider upgrading to a full warehouse management system

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Common Mistakes When Switching from Spreadsheets

We've seen dozens of small businesses make the jump from spreadsheets to inventory management software. The ones who struggle almost always make one of these mistakes:

1. Trying to Migrate Everything at Once

You don't need to import your entire 10-year order history on day one. Start with your current inventory counts and active products. Get comfortable with the system, then backfill historical data if you actually need it (hint: you probably don't). A phased migration takes longer but has a 10x higher success rate than a "big bang" switch.

2. Not Training Your Team

You found the perfect tool. You set it up. You're thrilled. And then your warehouse staff keeps using the old spreadsheet because "that's how we've always done it." Sound familiar? Block out 2 hours — that's all it takes — to walk your team through the new system. Show them how it makes their life easier, not just how it works. People adopt tools that reduce their pain, not tools their boss is excited about.

3. Choosing Features Over Simplicity

It's tempting to pick the tool with the longest feature list. Don't. The best small business inventory management software is the one your team actually uses every day. A simple tool used consistently beats a powerful tool used sporadically. If you're under 1,000 SKUs and sell on 1–2 channels, you don't need manufacturing workflows, EDI connections, or AI demand forecasting. You need accurate counts, sync, and alerts.

4. Ignoring Integrations

Your inventory software needs to talk to your other systems. If it doesn't connect to your sales channels, you're manually updating two systems (which is worse than one spreadsheet). If it doesn't connect to your accounting software, your bookkeeper will hate you. Before you commit, verify that the tool integrates with the specific platforms you use — not just "Shopify" in general, but your Shopify plan, your QuickBooks version, your shipping provider.

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Getting Started

If you've read this far, you probably know that spreadsheets aren't cutting it anymore. The good news: switching doesn't have to be hard, expensive, or time-consuming.

Here's what we'd suggest:

1. Pick 2–3 tools from this list that match your business size, model, and budget
2. Sign up for their free trials or free tiers — most tools on this list offer one or both
3. Import your top 50 products (not your whole catalog) and use the tool for a week
4. See which one feels right — the best inventory tracking software is the one that fits your workflow, not the one with the best feature matrix

If you're a Shopify retailer looking for something simple, fast, and built for operational clarity, do this next:

1. Pick your top 50 SKUs and generate clean labels with our barcode generator.
2. Run one weekly count cycle and measure mismatch rate.
3. If mismatches or oversells persist, join the waitlist for StockPilot.

Whatever you choose, the important thing is to choose something. Every week you spend wrestling with a broken spreadsheet is a week you're not spending on growth, marketing, or the parts of your business you actually enjoy.

Your Sunday mornings deserve better than manual stock counts.

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Frequently Asked Questions

What is the best inventory management software for small business?

It depends on your setup. For Shopify-first retailers, StockPilot and Zoho Inventory offer the best balance of simplicity and features. For physical retailers, Lightspeed and Square are strong. For manufacturers, Katana is purpose-built. The "best" tool is the one that matches your channels, budget, and business model — not the one with the most features.

How much does inventory management software cost?

For small businesses, expect to pay $0–$100/month for cloud-based tools. Free tiers exist (StockPilot, Zoho, Square) but have limitations on SKUs or order volume. Mid-tier tools like inFlow and Lightspeed range from $100–$350/month. Enterprise-adjacent platforms like Cin7 and Katana start at $179–$349/month. Always factor in integration and onboarding costs beyond the sticker price.

Can I use inventory software with Shopify?

Yes — most modern inventory management software integrates with Shopify. StockPilot, Zoho Inventory, Cin7, Ordoro, and Katana all offer native Shopify connections. The quality of the integration varies though: some offer real-time two-way sync, while others batch-update every 15–60 minutes. For high-velocity stores, real-time sync is worth prioritizing. See our guide on preventing Shopify overselling for why sync speed matters.

Is a spreadsheet ever good enough?

Honestly, yes — if you have fewer than 100 SKUs, sell on a single channel, and restock infrequently. A well-maintained Google Sheet can work fine at that scale. The problem is that businesses grow, and spreadsheets don't grow with them. Most merchants hit the breaking point between 100 and 500 SKUs, or when they add a second sales channel.

What's the difference between inventory management software and a warehouse management system?

Inventory management software tracks what you have and where — stock levels, low-stock alerts, multi-channel sync. A warehouse management system (WMS) goes deeper — pick/pack/ship workflows, bin locations, labor management, and receiving automation. Small businesses usually start with inventory management software and graduate to a WMS as they scale. Our Ultimate Guide to WMS Software covers this distinction in detail.

How long does it take to set up inventory software?

Cloud-based tools designed for small businesses typically take 5 minutes to 2 hours to set up — connect your sales channel, import products, and you're live. More complex tools (Cin7, Fishbowl, Katana) may require 1–4 weeks of onboarding, especially if you need custom integrations or manufacturing workflow configuration.

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This guide is part of our Inventory Management series. For warehouse-level systems, read our Ultimate Guide to Warehouse Management System Software (2026). For channel-specific strategies, check out How to Prevent Shopify Overselling During Q4.

Last updated: February 2026.