ERPNext for Trading & Distribution India 2026 | Multi-Warehouse, GST & CRM

Item	Chennai WH	Trichy WH	Status
ELEC-CBL-001	420 Nos	85 Nos	In Stock
PUMP-HYD-012	28 Nos	6 Nos	Reorder
CABLE-PVC-003	1,200 Mtr	320 Mtr	In Stock
VALVE-BSP-08	14 Nos	0 Nos	Low Stock

A Day in the Life

How a trading company runs
on ERPNext — morning to close.

Every touchpoint in a distributor's day — from the first purchase order to the last payment receipt — connected in one system, with every transaction posting to accounts automatically.

📋

8:30 AM — PURCHASE

Supplier RFQ sent, PO approved

Store manager checks reorder alerts. ERPNext auto-lists items below reorder point. RFQ sent to 3 suppliers. Best quote approved. Purchase Order raised in 10 minutes.

Auto-reorder alerts · Supplier comparison · PO raised

🏭

10:00 AM — GOODS RECEIPT

Stock received, batches logged, accounts updated

Goods arrive at godown. GRN raised against PO. Batch numbers and expiry dates captured. Stock levels update in real time across all warehouses. Landed cost split automatically.

GRN vs PO · Batch capture · Landed cost · Stock live

🤝

11:30 AM — SALES ORDER

Customer orders raised, credit limit checked

Field sales team raises order from mobile app at customer site. Customer price list auto-applied. Credit limit checked instantly — if overdue, order flagged for manager approval before it moves forward.

Mobile order entry · Credit check · Customer pricing

🚚

2:00 PM — DISPATCH

Delivery note raised, e-Way Bill auto-generated

Delivery Note created from Sales Order. For goods above ₹50,000, e-Way Bill generated automatically — transporter details, vehicle number, distance pre-filled. Stock reduced from correct warehouse.

Delivery Note · e-Way Bill auto · Stock dispatched

🧾

3:30 PM — INVOICING

GST invoice raised, IRN generated, posted to accounts

Invoice created from Delivery Note — one click, no re-entry. HSN codes, GST rate and customer GSTIN auto-filled. e-Invoice IRN generated and QR code embedded. Invoice posted to accounts simultaneously.

GST invoice · IRN auto · Posted to accounts instantly

💰

5:30 PM — PAYMENT & CLOSE

Payments matched, bank reconciled, reports ready

Payment receipts entered and linked to invoices. Bank statement imported — unreconciled entries matched automatically. Outstanding ageing report shows who still owes what. GSTR-1 updated in real time. Day close done.

Payment matching · Bank reconciliation · GSTR-1 live

Customer

Mehta Electricals Pvt Ltd

Customer GSTIN

33AABCM4521F1Z8

Credit Limit

₹5,00,000

Outstanding

₹3,42,800 — 28 days

Delivery Warehouse

Chennai Main — WH-01

Delivery Date

04-Jul-2025

Item	Qty	Rate	GST	Amount
Cable — 4 Sq.mm FR	500 Mtr	₹48	18%	₹28,320
MCB — 32A DP	24 Nos	₹640	18%	₹18,163
DB Box — 8 Way	12 Nos	₹1,250	18%	₹17,700

End-to-End Flow

From customer enquiry to payment —
every step connected in ERPNext.

A trading company runs two parallel flows — one customer-facing, one supplier-facing. ERPNext connects both into a single system where every document links automatically and every transaction posts to accounts in real time.

Customer Flow — Enquiry to Payment

Customer Enquiry

Lead logged in CRM. Source tracked — walk-in, call, referral, web. Assigned to sales rep with follow-up date.

CRM lead

Quotation

Quotation raised with customer-specific pricing. Credit limit checked. Stock availability shown. Sent for approval.

Auto pricing

Sales Order

Customer confirms. Quotation converts to Sales Order — no re-entry. Stock reserved. Credit limit enforced.

Stock reserved

Dispatch & e-Way Bill

Delivery Note from Sales Order. e-Way Bill auto-generated above ₹50,000. Stock reduced from correct warehouse.

Auto compliance

Invoice & IRN

GST invoice from Delivery Note. IRN auto-generated. QR code embedded. Posted to accounts instantly.

₹0 manual work

Payment & Reconciliation

Payment linked to invoice. Bank reconciled. Outstanding cleared. GSTR-1 updated. Ageing report reflects real time.

Accounts updated

Purchase Flow — Reorder to Stock

Reorder Alert

ERPNext detects stock below reorder level. Purchase Request auto-generated per warehouse. Sent for approval.

Auto alert

Supplier RFQ

RFQ sent to multiple suppliers. Quotes compared inside ERPNext. Best price approved. PO raised.

Best price locked

Purchase Order

PO confirmed with supplier. Payment terms set. Expected delivery date tracked. Outstanding PO report live.

PO confirmed

Goods Receipt

Goods received against PO. Batch/serial numbers captured. Landed cost allocated. Stock updated across all warehouses.

Stock live

Supplier Bill & Payment

Supplier invoice matched against PO and GRN — 3-way match. Discrepancies flagged. Payment made on due date.

3-way match

What ERPNext Does

Every module your trading
business actually needs.

Click a module to see exactly what's configured for Indian trading and distribution workflows — not generic ERPNext, but set up specifically for how Indian traders operate.

Inventory Management

Every SKU. Every godown. Real time.

For traders with 2–20 warehouses and hundreds of SKUs — bin-level visibility, automatic reorder alerts and stock transfer management.

Multi-warehouse stock — view all locations in one dashboard, drill down by warehouse or item
Bin-level locations — Rack A, Shelf 3, Bay 12 — for large godowns with zone management
Reorder point alerts per warehouse — auto-generates purchase requests when stock drops
Inter-warehouse stock transfer with full audit trail and transit warehouse support
Batch and serial number tracking from receipt to delivery — expiry alerts built in
Stock valuation — FIFO, Moving Average or Standard Rate — switch without data loss
Landed cost allocation — freight, customs, loading split across received items automatically
Stock reconciliation — physical count vs system, variance flagged and approved

Real-time

Stock across all warehouses — no refresh

₹0

Software licensing — open source

Stock Balance Live — All Locations

Warehouse Filter

All Warehouses

As of Date

03-Jul-2026 · Live

Item	Chennai WH	Trichy WH	Total	Status
Cable 4 Sq.mm FR	850 m	320 m	1,170 m	OK
MCB 32A DP	48 nos	6 nos	54 nos	Reorder
DB Box 8 Way	32 nos	18 nos	50 nos	OK
Contactor 40A	0 nos	4 nos	4 nos	Low

Sales & CRM

From quotation to delivery — one connected flow.

Customer-specific pricing, credit limit enforcement, delivery tracking and sales team performance — all in one system used daily by your field team.

Customer-specific price lists — different rates per customer, party group or quantity slab
Credit limit per customer — block or warn when limit exceeded before dispatch
Sales Order → Delivery Note → Invoice → Payment — no re-entry, full audit trail
Outstanding ageing — who owes how much, overdue by how many days, per territory
Sales team targets and actual performance — per salesperson, territory or customer
Promotional schemes — free goods on quantity, flat discounts, bundled offers
Customer portal — customers check their orders, invoices and outstanding online
Mobile app — field sales team raises orders, checks stock and views outstanding from phone

100%

Credit limit enforcement — auto-blocked

Mobile

Field orders raised from customer site

Customer Ageing Live

Total Outstanding

₹18,42,350

Overdue 60+ Days

₹4,18,200

Customer	Total	0–30d	31–60d	60d+
Mehta Electricals	₹3,42,800	₹2,10,000	₹82,800	₹50,000
Sri Murugan Stores	₹1,84,500	₹1,84,500	—	—
Rajan Distributors	₹4,18,200	—	—	₹4,18,200
Kumar & Sons	₹96,850	₹96,850	—	—

Purchasing

Purchase smarter. Pay on time. Earn discounts.

From supplier RFQ to payment — every purchasing workflow in ERPNext, with full control over what was ordered, received and owed.

Request for Quotation — send RFQ to multiple suppliers, compare quotes, approve best price
Purchase Order → Goods Receipt → Quality Check → Bill → Payment — one connected flow
Supplier-specific price lists — track agreed rates, alert when invoice exceeds PO price
Payment terms per supplier — due dates calculated automatically, payment reminders
3-way matching — PO, GRN and Supplier Bill compared before payment approved
Landed cost calculation — freight, customs duty, unloading allocated to each item received
Supplier performance tracking — delivery accuracy, quality rejection rate, lead time
Auto-reorder — ERPNext generates Purchase Request when stock falls below reorder level

3-way

PO · GRN · Bill matched before payment

Auto

Purchase requests on reorder alert

PO-2025-00638 Submitted

Supplier

Havells India Ltd

Expected Delivery

06-Jul-2025

Item	Qty	Rate	GST	Total
MCB 32A DP — Havells	100 Nos	₹542	18%	₹63,956
DB Box 8 Way — Havells	50 Nos	₹1,060	18%	₹62,540
Contactor 40A — Havells	30 Nos	₹2,200	18%	₹77,880

GST & Compliance

e-Invoice, e-Way Bill, GSTR-1 — all automatic.

Every GST compliance requirement for Indian traders — generated from within ERPNext, no separate portal login, no manual copy-paste.

GST-compliant invoice with correct HSN/SAC codes, GSTIN and tax breakup auto-computed
e-Invoice IRN auto-generated on invoice submission via India Compliance app
e-Way Bill triggered automatically from Delivery Note for goods above ₹50,000
GSTR-1 and GSTR-3B reports generated in ERPNext — export JSON for direct filing
Multi-GSTIN support — traders with branches in multiple states managed from one system
Interstate vs intrastate tax (IGST vs CGST+SGST) calculated automatically by delivery address
Input Tax Credit — purchase bills tracked against GSTIN for ITC reconciliation
TDS on applicable vendor payments — computed and deducted automatically

Auto

IRN generated at invoice submission — no portal

40–60 hrs

Saved per month on manual e-invoice work

GSTR-1 — June 2025 Ready to File

Total Taxable Value

₹38,42,800

Total GST Collected

₹6,91,704

Section	Invoices	Value	IRN
B2B — Registered	184	₹32,14,200	184/184 ✓
B2C — Unregistered	67	₹6,28,600	N/A
Credit Notes	8	₹−42,000	8/8 ✓

Accounting

Accounts that close in a day, not a week.

Full double-entry accounting fully integrated with stock, purchases and sales — no separate accounting software needed alongside your ERP.

Every sales invoice, purchase bill and stock movement posts to accounting automatically
Bank reconciliation — import bank statement, auto-match against receipts and payments
Profit & Loss — by item group, customer, territory, sales person or any dimension
Balance Sheet and Trial Balance — real-time, always reflects current position
Outstanding receivables and payables — ageing by 0-30, 30-60, 60-90, 90+ days
Multi-company support — consolidate accounts across entities with one login
Multi-currency — import/export with foreign suppliers and customers, forex handled
Financial reports ready for Tally export, CA handoff and bank submissions

1 day

Month-end close vs 5–7 days before ERPNext

Real-time

P&L by item, customer or territory — always live

P&L — June 2025 Live

Account	This Month	YTD
Revenue	₹38,42,800	₹2,18,64,200
Cost of Goods	₹28,14,200	₹1,59,48,100
Gross Profit	₹10,28,600	₹59,16,100
Operating Expenses	₹4,82,000	₹27,14,200
Net Profit	₹5,46,600	₹32,01,900

India-Specific

Built for how Indian
trading companies actually work.

Generic ERP needs heavy customisation for India. ERPNext with the India Compliance app handles every India-specific requirement natively.

🧾

e-Invoice IRN for all turnover thresholds

Applicable for ₹5 crore+ turnover — IRN generated automatically from ERPNext via India Compliance app. No NIC portal login. QR code embedded in invoice print format.

🚚

e-Way Bill above ₹50,000

Auto-triggered from Delivery Note for goods movement above ₹50,000. Transporter details, vehicle number and distance auto-populated. Extension and cancellation handled inside ERPNext.

📋

Multi-state GSTIN management

Distributors with branches in Tamil Nadu, Karnataka, Andhra Pradesh — each GSTIN configured separately. IGST vs CGST+SGST calculated correctly by delivery state automatically.

📊

GSTR-1 and GSTR-3B — ready to file

Monthly GST reports generated from ERPNext transactions — B2B, B2C, CDNR, export. Export as JSON for direct upload to GST portal. ITC reconciliation with GSTR-2B built in.

💰

TDS on vendor payments

TDS applicable on rent, professional fees and contractor payments computed automatically. TDS certificates generated. 26Q and 27Q filing data prepared.

🔄

Tally data migration — zero data loss

All Tally masters (customers, suppliers, items, warehouses), opening balances, outstanding receivables and payables migrated to ERPNext. Trial Balance reconciled before go-live. Included at no extra cost.

Factor	Tally Prime Gold	SAP Business One	ERPNext · PS Digitise ✓
Software licensing	₹67,500 + ₹13,500/yr	₹3L–₹8L / year	₹0 — open source forever
Multi-warehouse stock	Separate view per location only	Full multi-warehouse	Full — unlimited warehouses, bin-level
Customer credit limits	No enforcement — advisory only	Yes	Yes — hard block or warning configurable
Customer-specific pricing	Basic price list	Full	Full — slab pricing, discount approval
e-Invoice IRN	Excellent — native	With add-on	Native — India Compliance app
e-Way Bill	Yes — native	With add-on	Auto from Delivery Note
Batch / serial traceability	Very limited	Full	Full — expiry tracking included
Sales team mobile app	Not available	Extra cost	Included — order from field
5-year TCO — 30 users	₹1,35,000	₹80L–₹1.5 crore	₹1,75,000–₹3,50,000 one-time
Implementation timeline	1–2 weeks	6–18 months	8–12 weeks

Investment

Fixed-price implementation.
No surprises.

ERPNext software is ₹0. You pay PS Digitise for implementation, configuration, data migration and training. Fixed price agreed upfront — no hourly billing.

Starter

₹1,75,000

Up to 25 users · 1–2 warehouses · 8 weeks go-live

Inventory — multi-warehouse, reorder alerts
Sales — orders, invoices, credit limits
Purchasing — PO to bill to payment
GST — e-invoice, e-way bill, GSTR-1/3B
Accounting — P&L, Balance Sheet, bank reconciliation
Tally data migration included
User training — 2 days
1 month post-launch support

Most Common

Growth

₹2,50,000

25–75 users · 3–8 warehouses · 10 weeks go-live

Everything in Starter
Batch & serial number traceability
Customer-specific pricing — slab and discount rules
Sales team mobile app
Inter-warehouse stock transfer workflows
Supplier performance tracking
Custom sales reports and dashboards
3 months post-launch support

Enterprise

₹3,50,000

75+ users · 8+ warehouses · 12–14 weeks

Everything in Growth
Multi-company — consolidated accounts
Multi-GSTIN across states
Landed cost and customs duty allocation
Supplier portal — online PO and invoice
Advanced BI dashboard — territory, channel, SKU
Priority WhatsApp support
6 months post-launch support + AMC

ERPNext software licensing: ₹0 forever. All prices above are for PS Digitise's implementation service. Hosting: ₹800–₹3,000/month on Frappe Cloud (your cost, not included above).

FAQ

Common questions from
Indian trading companies.

Is ERPNext good for trading and distribution companies in India? +

Yes. ERPNext is well-suited for Indian trading and distribution companies. It handles multi-warehouse inventory with real-time visibility, customer-specific pricing and credit limits, Purchase Order → Goods Receipt → Payment in one connected flow, GST-compliant invoicing with e-invoice IRN, e-way bill and GSTR-1. PS Digitise has implemented ERPNext for 20+ trading and distribution companies across Tamil Nadu, Karnataka and Andhra Pradesh.

How much does ERPNext implementation cost for a trading company in India? +

ERPNext implementation for a trading or distribution company in India costs ₹1,75,000–₹3,50,000 depending on company size, number of warehouses and customisation scope. ERPNext software is ₹0 forever — open source. Tally data migration is included in every package at no extra cost. PS Digitise offers fixed-price implementations with an 8–14 week go-live timeline depending on complexity.

Can ERPNext handle multiple warehouses for Indian distributors? +

Yes. ERPNext supports unlimited warehouses with bin-level location tracking. You can view stock across all locations in real time, set reorder points per warehouse, manage inter-warehouse stock transfers and track which warehouse goods are dispatched from on each invoice. For Indian distributors with godowns in multiple cities or states, ERPNext gives a single dashboard view of stock, outstanding and orders across all locations.

Does ERPNext support customer credit limits and outstanding tracking? +

Yes. ERPNext allows setting credit limits per customer in rupees, credit days and payment terms. When a sales order or invoice exceeds the credit limit, ERPNext can block or warn the salesperson. Outstanding ageing reports show exactly which customers owe how much and for how long — essential for distributors managing hundreds of B2B accounts across India.

How does ERPNext handle GST and e-invoice for trading companies? +

ERPNext with the India Compliance app handles all GST requirements for Indian traders — GST-compliant invoicing with HSN/SAC codes, e-invoice IRN auto-generation, e-way bill for goods above ₹50,000, GSTR-1 and GSTR-3B report generation, multi-GSTIN for multi-state traders, and input tax credit tracking. All native — no separate NIC portal login required for e-invoice or e-way bill.

Can ERPNext track batch numbers and serial numbers for distribution? +

Yes. ERPNext tracks batch numbers and serial numbers across every stock movement — goods receipt, stock transfer, delivery and returns. For Indian distributors of FMCG, pharmaceuticals or electronics, this gives full traceability from supplier to end customer. Expiry date tracking per batch is available for perishables and pharma products. Product recall identification takes seconds — not days.

One system for every
warehouse, every
customer, every rupee.

How a trading company runs
on ERPNext — morning to close.

From customer enquiry to payment —
every step connected in ERPNext.

Every module your trading
business actually needs.

Built for how Indian
trading companies actually work.

ERPNext vs Tally vs SAP —
for Indian trading companies.

From 4 warehouses on WhatsApp
to one live ERPNext system.

Fixed-price implementation.
No surprises.

Common questions from
Indian trading companies.

Ready to see ERPNext on your trading workflows?

One system for everywarehouse, everycustomer, every rupee.

How a trading company runson ERPNext — morning to close.

From customer enquiry to payment —every step connected in ERPNext.

Every module your tradingbusiness actually needs.

Built for how Indiantrading companies actually work.

ERPNext vs Tally vs SAP —for Indian trading companies.

From 4 warehouses on WhatsAppto one live ERPNext system.

Fixed-price implementation.No surprises.

Common questions fromIndian trading companies.

Ready to see ERPNext on your trading workflows?

One system for every
warehouse, every
customer, every rupee.

How a trading company runs
on ERPNext — morning to close.

From customer enquiry to payment —
every step connected in ERPNext.

Every module your trading
business actually needs.

Built for how Indian
trading companies actually work.

ERPNext vs Tally vs SAP —
for Indian trading companies.

From 4 warehouses on WhatsApp
to one live ERPNext system.

Fixed-price implementation.
No surprises.

Common questions from
Indian trading companies.