QuickBooks cost of Goods Sold

We do NOT keep inventory. i.e. like retail stores, or bike manufacturers etc would.

We perform custom design services and use plotting machines to produce I guess what you could call the "product".

We buy 48" wide or so rolls of material, i.e. paper, and burn through them constantly within days. So we purchase this "roll paper" as we need them and some extra on hand, and go them quickly each week.

Once we "plot" the necessary work to the rolls of paper (material), we package and ship them in plain shipping boxes (shipping supplies expense) (not COGS type packaging like a finished printed box in a retail store).

Technically it seems we should be using COGS (since it seems the rolls of material are part of the cost of the product being sold?), but since we do not keep inventory of the raw materials or the finished goods (they are needed and shipped immediately when finished), should we just be "expensing" the rolls of paper as materials & supplies (or under other business expenses). I know COGS is a form of expense anyways, but is COGS more fit for retail, manufacturing type companies versus what we do? We're not quite full fledge manufacturing. i.e. like physically producing (or purchasing) items and store on shelves and assemble etc. i.e. a bike, or wagon etc. maybe more so like a printing / reproduction industry service?

It's almost similar to just buying copy machine or printer paper and burning through it... then selling the output? but just in a different way it seems.but this is our "main" product so I am leaning more towards COGS, but again...not required nor keep inventory.

I am also not sure about Other Costs COGS:Subcontractors.

We pay vendors for services that go into producing the final product, but not sure if I should using the above COGS account or just use Schedule C "Contract Labor"?

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