We handle corporate accounting, product launches, retail, and special projects.

Company tax returns

We always speak with clarity and tell it like it is, and you can be sure we have your best interests at heart. The team takes great care to get to know our clients and understand their e-commerce business, and as such, they are comfortable to get in touch for ad-hoc advice and feedback. The ecommerce business can anticipate contact from the assigned accountant or bookkeeper within 48 hours. Think of the A2X Directory as a user-friendly “phone book” exclusively listing top-tier ecommerce accountants and bookkeepers. Capable of handling multi-channel sales – If you’re selling on multiple platforms, your accountant should be able to rearrange rows and columns in numbers on mac manage the finances seamlessly across all channels.

Even if it is only 5% of your total sales, having a Shopify store and/or selling on additional channels diversifies your revenue streams. We recommend customizing your charts of accounts during the initial setup and onboarding. cash flow from financing activities It is just about categorizing all of your transactions on a regular basis – say weekly or monthly. This way, you have defined categories that show where you are spending your money.

Cash Flow and Income Tracking

The A2X Directory is a global network of expert ecommerce accountants ready to help businesses like yours. While businesses work on selling products, financial e-commerce professionals take all the work companies don’t need to worry about and do it for them in cost-effective and efficient ways. The settlement amount includes a mix of sales, fees, refunds, taxes, and other transactions. It’s crucial to break down these transactions and record them accurately in your Chart of Accounts. This ensures your bookkeeping is up-to-date and you have money sitting in a bank account ready to pay your taxes on time.

Integrate Amazon and your accounting software for accurate accounting

Accounting for the cost of inventory when it is sold provides a more accurate view on business profitability. Getting your VA to do it alongside any general, administrative work you assign to them isn’t much better. Unless you have defined bookkeeping systems and processes and an in-house controller managing the VA, the chances of your books being a mess are high. Then, either you have to fix them or you have to pay extra money to your accountant to clean up your VA’s work at tax time. Having proper accounting and bookkeeping systems and processes in place can give you confidence in your numbers and help you make more strategic business decisions.

In fact, holding on too tightly to accounting and bookkeeping if you don’t have a financial background can actually create more issues than outsourcing it early on. Cloud accounting software, like Xero, is great at automatically syncing all of your bank transactions to your feed. However, occasionally one of your bank feeds might have an outage or some transactions go unaccounted for. We recommend that most businesses retail sales and use tax create cash flow forecasts at least once a quarter. You may want to do this more often if your business is prone to volatility or you are in uncertain times – like a global recession and pandemic.

Since the inventory is purchased upfront, returns can also make the accounting aspect a little tricky. Returns have to be tracked and processed, which requires an accountant to factor in returns to accurately forecast cash intake and develop projections while ensuring all books are cleared. Unless you have an extremely tight budget or extensive financial experience, accounting and bookkeeping is usually one of the first things entrepreneurs outsource or delegate. As the owner, you are pulled in many directions from sales and marketing to sourcing new products, supply-chain management, customer service, and accounting and bookkeeping.

1. For example, if your VA has access to your bank accounts, running a reconciliation report on a regular basis ensures they aren’t stealing from the company.
2. A2X’s COGS feature is designed to help sellers better understand their gross profit margin (sales minus COGS).
3. Ensuring that revenue and expenses are recorded in the correct periods helps maintain accurate financial records and provides a true picture of your business’s financial performance.
4. Inventory management know-how – They should be able to navigate the complexities of inventory, from calculating the cost of goods sold to understanding dropshipping and third-party logistics.
5. For example, if you notice a big surge in new sales in the month of July, you’ll want to lean in and figure out what caused that.

Instead of frantically trying to play catch-up on your bookkeeping before the looming tax deadline or not having enough money set aside to pay the bill. In particular, two tools that are critical for FBA sellers looking to scale their brand are inventory planning and cash flow forecasting. Sometimes, you just need the reassurance of a confident and professional accountant’s voice on the phone.

At the bare minimum, accurate tracking of transaction volumes (including Cost of Goods Sold (COGS) is essential for tax purposes as is effective inventory tracking. Inventory management know-how – They should be able to navigate the complexities of inventory, from calculating the cost of goods sold to understanding dropshipping and third-party logistics. At A2X, we believe that every ecommerce business could benefit from working with a specialist accountant.

Again, you’ll need a specialized ecommerce accountant to help you with that. An outsourced e-commerce CPA will consistently reconcile books weekly or monthly to ensure the money leaving an account matches the money spent. By using reconciled books, an outsourced accountant will create these forecasts, analyze cash flow and expenses, and give your business tailored feedback.