In this new era, traditional retailers are moving online as a way to expand market. However, we are aware that for bigger corporation with resources would be able to deploy sophisticated technology to not only automate the processes, but also implement AI to help them improve their businesses. Accounting integration is now part of new economy and should be an integral part of e-commerce.
What about a typical SMEs scenario? We know there’s a lot of low cost solutions, however, most SMEs are not able to afford too many solutions they are either constrain by cost of manpower or capital. SMEs would typically pay for affordable solutions like Woocommerce, Magento, xcart or some other open source shopping carts. If there’s no IT expertist to help, SMEs will be constrain to double work of rekeying in the entries to their accounting software. Yes, accounting integration is possible with software like Moneyworks, Xero or even Quickbook Online etc which comes with integration API for eCommerce.
Why integrate as we can just key in summaries of sales into accounting software? Firstly, accounting software can take care of inventory and cost of sales of which shopping carts usually do not have. Second, we have details of profit margin of product categories for business evaluation. Next, mistakes will be minimised if processes is automated well compared to manual summary and entry. And lastly, we can have full transaction records in accounting software rather than referring and toggling betwee 2 softwares.
What to integrate between eCommerce and Accounting software?
- Products SKUs – Once integrated, we can just concentrate on synchronising our products from accounting software without recreating manually. However, on shopping cart, we may want to add in more spicy details of the products and pictures for effective sales after synchronising of products from a traditional accounting inventory system.
- Transactions – Upon check out, we can synchronise all transactions to Accounting software under either sales order (waiting to be fulfilled) or receipts with items sales without rekeying in the exact transactions.
Moving ahead on supply chain, we can further integrate either our eCommerce transaction details or accounting sales transaction to our logistics outsource to arrange for fulfillment. Once linked, we realised our life can be much easier when expanding the market without expanding our capacity.
Hope this article does help you imagine further on automation by just integrating your existing solutions.
Please feel free to contact us for more information or clarifications.