If your client, like so many Amazon sellers, is looking to improve their accounting and bookkeeping, QuickBooks Online is a fantastic option. This robust accounting software gives them significantly more control over their finances and their Amazon business as a whole. After all, the Amazon platform offers some exciting features, but accounting isn’t its strong point — they can check their daily sales, and that’s about it.
Fortunately, QuickBooks makes it possible for them to monitor their cash flow, gauge their true profits, manage their inventory, and more. Some basic bookkeeping advice for Amazon sellers can go a long way in helping them run their businesses more efficiently, especially if they’re new to selling on Amazon. Discover why so many Amazon sellers are choosing to use Amazon and QuickBooks together.
1) Handle International Currencies
The beauty of Amazon is that people can sell their products worldwide, helping them to reach a massive market. However, if they’re accepting multiple currencies, bookkeeping can get complicated. QuickBooks makes it easy to accept international payments, record transactions in multiple currencies, and adjust their reports to reflect the changes in Canadian dollars. QuickBooks also automatically accounts for the exchange rate, helping them to track their expenses and profits in real-time. In other words, QuickBooks makes juggling multiple currencies a simple, automated affair.
2) Manage Your Inventory
QuickBooks Online is the ultimate inventory management tool, whether they’re selling their own products or drop-shipping. Your client simply creates a master inventory list, and then they can sync their products across all of their Amazon sales channels and warehouses. If they need to know when it’s time to replenish their stock, QuickBooks gives them an automatic notification when their inventory is low. If they want to know which products are selling well and which to discontinue, QuickBooks provides comprehensive data that makes smart reordering a breeze. QuickBooks Online also tracks all lost, damaged, or defective products, so they can keep track of their inventory right down to the item.
3) Automate Transactions
Is your client looking for an easy way to streamline bookkeeping? QuickBooks automates the process entirely so they can focus on other details. Every time they make a sale or issue a refund, that transaction is recorded automatically and their totals adjust. Not only does this accounting method save them a substantial amount of time and effort, but it’s unparalleled in its accuracy. Never worry about making a typo again.
For example, if a customer ordered two shirts and one was defective, that initial sale records as the transaction goes through. Once your client issues a refund or sends out a second shirt, QuickBooks instantly adjusts their sales totals and inventory to reflect those changes. That way your client always knows exactly where they stand.
4) Track Your Store’s Performance
QuickBooks makes it easy to generate reports that allow your client to monitor their cash flow more efficiently so they can make informed business decisions. If they need to check to see if they hit their sales goals for the month, QuickBooks runs a report so they can view that data instantly with the click of a button. Once they reach their goal, they may want to order more inventory. Or, if they’re still short, they may want to wait. These reports really help them to make smart decisions for their Amazon businesses. They can even create a budget using last year’s data, or they can create a budget from scratch.
In addition to helping them manage their spending and budgeting efficiently by using concrete data to influence their decisions, QuickBooks provides incredibly valuable insight to help them improve their approach to marketing so they can boost sales on Amazon. Do customers from a certain region buy more products? Do they sell more of some products during certain seasons? Do customers buy one product at a time, or do they tend to buy in bulk? QuickBooks makes it easy to analyze this type of data, empowering your clients to improve their sales and grow their Amazon store’s bottom line.
5) Calculate Sales Taxes
One of the most important pieces of self-employed advice you can give your clients is that keeping track of their taxes is absolutely essential. QuickBooks simplifies tax preparations for them by automatically calculating GST, HST, PST, and QST sales taxes. They can also enter in their own custom tax rate. QuickBooks also provides real-time reports on what they owe or what customers owe them, and the software even reminds them when there’s an approaching tax deadline.
They might not know that in Canada, they can deduct business expenses from their taxes. For example, if they bought a new tablet so they could run their Amazon store on the go, they can deduct the cost of that device from their taxes. Maybe they traveled to meet with a potential product supplier. If they save their travel receipts, they can deduct those expenses, too. QuickBooks makes it easy to take a quick photo of their receipts with their phone and save them so they’re ready for you as an accountant to reference when it’s time to file.
6) Collaborate with Business Partners
Not all Amazon sellers work alone, and keeping the whole team on the same page is crucial. They can give you (their accountant) and their employees access to certain features so you can all collaborate more effectively. QuickBooks allows your client to customize access so only those with proper credentials can view their books, and it also lets them share reports without sharing login information.
Besides just allowing multiple users, QuickBooks Online features powerful payroll and time-tracking features so your client knows exactly how long their team members work and what they owe each employee for their time. They can enter employee hours on their own or provide them with access to enter their own time. They can also use optional payroll features to pay employees with direct deposit. The software even handles all applicable taxes to cover them and their employees when tax season rolls around.
7) Enjoy Convenient Cloud-Based Data Management
Because QuickBooks Online is cloud-based accounting software, your clients can rest easy knowing that their data is secure. Even if they damage their hardware, they can simply log in on another device and regain access to all of their information with just a click. Additionally, because their data is stored on offsite Intuit servers, they can access their data from anywhere. Whether they want to keep up with their Amazon store while they’re on vacation, or sometimes work remotely, they just log in and they’re good to go. Using cloud accounting software also ensures that they always have the latest up-to-date software with no manual downloads and updates required.
8) Use QuickBooks Apps for Amazon Sellers
If your clients want to run their Amazon store from a smartphone, QuickBooks Online also includes a powerful free application that allows them to perform all of their essential accounting duties right from a handheld iOS or Android device. The app syncs with the software so any updates made on their computer or smartphone are immediately updated in real-time.
As you can see, Amazon and QuickBooks Online go hand-in-hand. Getting started is fast and easy, and your clients can even take advantage of the free trial so they can make sure the software is right for them. 5.6 million customers use QuickBooks, and that number is growing every day. Join them today to help your business thrive.