I have an online needlework store. Some things I purchase are for resale purposes only. Easy… they are in my products I sell and inventory.
Other things I purchase I use as materials to make something, and then sell that final product. Example: I hand dye fabric for the person to stitch on. Therefore, I have to purchase white dyeable fabric and the dye. These products I do not resell… obviously.
I do however, purchase these products from a company that I also purchase products for resale. How do I work purchase orders purchasing the “materials”? These products are not in my product list, they do not need to be in my available inventory and should not be. Yet, I want to keep track of all my purchases through purchase orders for taxes. How do I do this?