Warehouses and locations are used to group inventory in Accounting Seed. A location is a child object of a warehouse. This means there can be many locations to one warehouse. A warehouse must always have at least one location to operate Accounting Seed's inventory control. Sometimes it makes sense to divide a physical warehouse into multiple virtual warehouses. This would be the case if you were stocking client inventory or consignment inventory that was not actually yours, but you wanted to track in your warehouse.
Locations are the physical areas of your warehouse that you want to subdivide for tracking inventory. At least one location is needed for each warehouse to operate the inventory control system. Locations are 80 character text strings you can use anyway you want. For example, you may have a simple location called "staging area" that is used to receive inventory. If you have a racking system in your warehouse with multiple shelves, bins, racks, and aisles, you simply would create a location for each discrete area you wanted to track inventory. For example if I had Aisle 10, Shelf 3 and bin 13 as a location, I would set it up as: 
Aisle 10, Shelf 3, Bin 13. 
Summary of Steps:
To add a warehouse perform these steps:
1. Navigate to Accounting Home
2. Under the Master data section click the warehouse's link. This will take you to the warehouse tab.
3. Click New and enter the name of the warehouse.
4. From the warehouse related list Click new location to add locations.
Lot Tracking
If inventory locations in the allocate process need to be prioritized, simply include a date stamp in the location name. This way the person allocating inventory can select inventory from the earliest location dated. 
For Example: Aisle 10, Shelf 3, Bin 13 Lot 20140925 could be a location for a lot you created on September 25th, 2014. The location can be retired after all of the inventory has been depleted for that particular lot for that for a specific product.
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