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After watching a good webinar this morning I thought I’d share a summary.
More and more retailers are moving into the Amazon sales channel. Whether it be simply selling on Amazon or the full works by using Fulfilled By Amazon (FBA) where Amazon hold the stock, take orders and deal with distribution.
FBA is more expensive but you can take advantage of Amazon’s great shipping rates and you don’t have to pay for someone to do your packaging and getting the items collected.
For many clients it is very difficult and time consuming to get the information from Amazon into their accounting software, Amazon reports are notoriously difficult to use. This becomes even more complicated if you have mixed VAT sales.
Manual and time consuming method is to export reports from Amazon into a spreadsheet, sort the information into the right order and import into Xero. This method can be time consuming and open to errors.
A good integration tool that deals with Amazon sales is A2X. A2X takes the Amazon settlement file and populates Xero with the relevant financial information. This information is summarised so for larger volume businesses Xero is still an option.
If the retailer has other sales channels it may want to consider the next option.
Dear / Cin7 inventory
For large retailers that deal with their own Amazon shipping or deal with eBay, Etsy, Magento and others then they may want to consider Dear or Cin7 inventory. These fully integrate with Xero and many other applications such as PayPal, Vend, Capsule CRM.
These are a more expensive option but are very powerful.
Advice for clients
If you have any clients that could benefit from the above please get in touch with either myself or Richard Woolgar.
For further information about integrating Ecommerce accounting into your business, please get in touchContact us
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