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COGS: Costing Cannabis Inventory
COGS: Costing Cannabis Inventory

How to associate costs with your Cannabis Inventory in GrowFlow Wholesale

Madie avatar
Written by Madie
Updated over a week ago

Updated 05/02/2022

Welcome to the first step to the Complete Guide to setting up COGS in GrowFlow! Associating costs with your cannabis inventory is integral to tracking overall production costs. In this article, we'll outline the process of costing cannabis inventory in your account, assuming you are familiar with the current harvest and inbound order processes outlined; only the details impacted by cost tracking will be highlighted here.


When creating a harvest batch, you will see an Estimated Cost field. This should be defined at the time of the harvest so that the cost will propagate to all packages of dried material created from that harvest.

  • Note: This process in GrowFlow occurs when you are progressing plants from the Flower stage to the Drying Stage on your Grow Overview, by entering the wet weight of the harvest.

Factors to consider when defining a cost include:

  • Cost of starting materials

  • Cost of additives

  • The labor costs involved up to the point of harvesting the plants

Once you've entered the wet weight along with the Estimated Cost, you can access your harvest's details by selecting it in the Drying column. This will open the Package Harvest Batch window where you can click the More caret towards the top-left of the window to view the Estimated Cost.

  • If an entry error was made or you forgot to enter the Estimated Cost, no worries! Before creating any packages, click Edit to correct this field.

From here, proceed with your normal harvest workflows when entering your dry package weights. Costs will be divided proportionally across all packages created from the harvest until the time the harvest is closed. At that time, the cost per package will be locked in.

For Example:

  • If you have a harvest with an estimated cost of $300 and create 2 packages of equal size, the harvest cost will be allocated across both child packages equally, resulting in a $150 cost per package.

  • If you left the harvest open and then create a third package of equal size, the harvest cost will be allocated across each package in thirds, resulting in an updated cost of $100 per package.

  • The costs will update across all child packages until the harvest is closed by leaving Collect Additional unchecked when making your final package(s) on the Package Harvest Batch window.

Inbound Orders

To apply a Cost to inbound inventory when receiving or importing inbound transfers, your workflows will hardly change! The amount populated in the Total column before importing will be automatically applied as the Cost for the Inventory record once the inbound transfer is completed.

Depending on how the transfer is received in your GrowFlow account, the cost may or may not automatically populate when receiving the inbound transfer. No worries! The Total field is editable prior to completing the transfer if you wish to assign or associate a different cost with the item. Once the inbound transfer process is completed, the Cost field per package will be locked in, even though you can still edit the Total field for purposes of your reports on purchasing expenses.

  • Pro-Tip! Include the Cost column on the Inventory Overview. Once the packages are created from the harvest or an inbound transfer, you'll be able to view the cost per package quickly. To do that, click the caret to the right of the Actions Area on the Inventory Overview, check Cost, and click Apply.

  • Note: The Cost per package is also viewable from each item's Inventory Details.

  • Note: Inbound inventory expenses are reported via Dashboard > Reports > Sales > Inbound Transfers.

    • As this is for inbound packages, this information will not carry over to any accounting integrations.

Great work!
Head to Create Non-Cannabis Inventory to continue setting up COGS in GrowFlow

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