Puppy has small lump bite like on his genitals

Watch it VERY carefully -- it's likely just more of the 'same' or maybe a bite, BUT it's also a very bad place where cancer can develope (the prepuce area -- near the tip or under the tip of the penis).  So watch it -- and if it grows or changes go to the vet.  Give it a week and watch it closely.  Good luck. 

I will watch it closely, than you. It's more at the base than the tip. There is no coloration difference nor is there any signs off infection. Can a puppy 7 months old get cancer?

Human or dog -- cancer can hit at any age.  A friend's granddaughter had an opthalmic (eye) tumor at the age of one.  One day changing her the mother saw the eye looked unusual (and she's a DOCTOR), they had it checked and sure enough -- not only a tumor, but malignant.
 
This isn't infallible, but if you pick it up (with your finger and thumb pick up the skin on either side of it and see if you can feel 'under' it -- in other words is it just on the surface of the skin or does it seem 'rooted' to the flesh underneath. 
 
If it is rooted, go to a vet now (tomorrow). 
 
But that's why it's so critical to feed something that doesn't contain known carcinogens.  I"m sure you've noticed on here "what do you feed" is about the first question ANYONE is asked on here.  Even vet prescribed (or vet sold) foods have them as do all the grocery store foods.
 
I'm not trying to scare you to death -- it's just the genital area is a place where mast cell cancer often gets missed and it's VERY fast-growing.  And yeah -- you guessed it.  I had a dog who had a tumor in the prepuce area.  Shoot -- that's just not a word in most people's vocabulary.  *sheesh*

I definitely can't pick it up. I can't get under neath it either at all. It simply looks like a mosquito bite. We feed him Innova with Trippett. 

I'm already scared, so I will watch it and get it looked at if need be. Thanks

Just wanted to give an update on Jackson. Everything cleared up beautifully and he is doing great. Skin is totally cleared up.
 
Thanks again for the replies.