Through our experience working with small businesses — and even some larger ones — we’ve noticed the same thing happening again and again: choosing the right warehouse management system (WMS) for a small business can feel completely overwhelming.
You run a quick search for “inventory software” and suddenly you’re looking at everything from $30/month basic tools to multi-million-dollar ERP platforms. Now, of course, everyone knows how to to figure out what really matters for your stage of growth — and what will just slow you down and drain your budget.
But here’s the frustrating part: you usually can’t just hand-pick the features you want to pay for. You end up with a system packed with tools you don’t need yet, and before you know it, you’re sinking into a steep learning curve. It’s a rabbit hole — and not a fun one.
So, let’s make it simple. I’d like to help you avoid falling into that trap.
When we built our software for e-commerce sellers, we always kept one principle in mind: there’s no one-size-fits-all — every business is unique. But if you keep in mind the idea of “Things You Don’t Need (Yet)”, you can start with the essentials, keep it easy to manage, and scale up when the time is right.
Let’s consider first the 7 Must-Have Features for a Small-Business-Friendly WMS
- Easy Setup
You shouldn’t need a full-time IT consultant just to get started. A good WMS should have a clear onboarding process and be ready to use within days — not months.
2. Multi-Location Tracking
Even if you only have one location today, think ahead. You’ll thank yourself later for choosing a system that can handle multiple warehouses, retail shops, or storage facilities — with visibility right down to the exact storage address.
3. Barcode Support
Barcodes aren’t just for giant retailers. Even basic barcode scanning can speed up picking, reduce errors, and improve stock counts. Choose a WMS that supports barcode labels from day one so you can grow into it.
4. Simple, Actionable Reporting
Reports should help you make better decisions, not leave you drowning in data. Look for dashboards that clearly show your best-sellers, slow movers, and current stock levels at a glance.
5. Low Cost (and Transparent Pricing)
Small businesses don’t need massive licensing fees hanging over their head. Pick software with pricing that fits your budget and grows with you.
6. Cloud Access
Your WMS should work anywhere you do — in the warehouse, at home, or on the road. Cloud-based systems also make updates and backups a non-issue.
7. Integrations with Sales Channels
If you sell on Shopify, Amazon, eBay, or through a physical store, your WMS should sync stock automatically. That means no more overselling and no more wasting hours on manual updates.
Now, let’s talk about the 3 Things You Don’t Need (Yet)
1. Full ERP Complexity
Sure, it’s nice to have accounting, CRM, and inventory all in one big system — but if your team is small, these modules will just get in your way. Focus on the features that will actually help you grow first.
While predictive analytics sounds impressive, the truth is that most warehouses aren’t ready to leverage this technology effectively.
These systems require:
- Years of clean, consistent historical data,
- Specialized data science expertise to interpret results,
- Established processes that can quickly adapt to insights.
2. Huge Licensing Fees
As a small business, you’ll never use 90% of the features you’re paying for, so why waste the money?
Some systems are built for massive corporations — or headed in that direction, and their prices reflect that.
3. Unnecessary Automation
Automation is great… when the time is right. But if your order volume is small, complex robotics or conveyor integrations will just add cost and complexity without giving you real ROI.
Start simple, learn your workflow, and then automate the steps that actually need it.