# Updating Inventory

To update inventory, you must first determine the type of update required. Square offers three different methods for performing physical counts, adjustments, and transfers.

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Types of Inventory Updates

* Physical count: Represents the quantity of an item variation that is physically present at a specific location and verified by a seller or a seller's employee. For example, a physical count might come from an employee counting the item variations on hand or from syncing with an external system. This type of update is best used when you know the exact count of the item, allowing you to update it accurately. If you are using the physical count type, you can use the Square Retrieve Inventory Count action to retrieve the count for a particular item.
* Adjustment: Represents a change in the state or quantity of product inventory at a particular time and location. This type of update is best used when you want to modify the quantity based on actions in other applications, but you do not know the total count.
* Transfer: Represents the movement of a quantity of product inventory from one location to another at a specific time.

Once you have selected the type of inventory update you wish to make, you can fill out the below fields in the step. For example, if you selected the Physical Count type, only fill out the fields under Physical Count heading.

Note: Please only fill out the fields that are relevant to the selected type.

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MESA will only send inventory updates based on the type of changes selected. If you want to have multiple inventory update types, you will need to click to add another set ( Add Set button) and select the appropriate type.

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