Ecommerce has grown from just a new-age way of digital shopping to a daily need for consumers. From grocery shopping to gadget purchasing, everything happens online through ecommerce websites.
To attend to the demand for the same, businesses have got a huge number of accounting sheets to maintain. Ecommerce is not just a few transactions business, but involves 100s and 1000s of transactions every hour, leading to loads of accounting transactions to manage.
Merely sticking to excel spreadsheets won’t do anything, for this ecommerce accounting software has proven to be the pragmatic and smart choice. It allows for easy scaling of the business without any restrictions on the transactions, and allows for high accuracy in accounts calculations and reporting.
But, amongst so many options available for your ecommerce accounting, finding the best ecommerce accounting software for your business is tricky. Though the choice will vary depending upon your business requirements, scale, and other needs, let’s understand the must-have features for your ecommerce accounting software.
1. Core Accounting Automated
The most important feature your ecommerce accounting software should provide you is automated core accounting processes. The software helps in converting all the transaction data into core accounting entries like single entry, double entry, profit and loss, etc.
You can easily sort your accounting data into the software system, which allows for easy date input for all the employees as it is a centralized-data platform. That way you can easily track your ecommerce accounting data from any location and at any time.
The dashboard shows the updated accounting data on its user-friendly interface, which helps you monitor your financial performance.
2. Multi-platform Integration
The biggest advantage with an online accounting system is its accessibility from any device, and through any platform. The ecommerce accounting software also provides for multi-platforms integrations like expense management software, receipt scanning, etc.
Also, the software provides easy integration with the bank accounts or credit and debit cards, which helps in accurately tracking and matching of transaction records of your business. Once you are integrated with your parallel platforms, your accounting operations get smooth and simplified for various tasks and issues like refund, collections, debit and credit, etc.
3. Data Security
You must also look for a sound data security system while selecting your ecommerce accounting software. A common issue with the ecommerce accounting system is data theft, which gets easy without any software solution in place.
The software provides different layers of security for your ecommerce transactions data, like, two-layer security access, time-bound protection password, IP restrictions, location based access, etc. Such a system makes the tasks easy for different operations, and also helps in maintaining transparency along with the security.
4. Easy Reporting
Managing huge ecommerce business operations along with tracking business reports manually with a huge amount of data, ensures errors and frustration for clients.
The ecommerce accounting software helps in automating the reporting process by generating regular on-demand accounts reports, preparing growth metrics like customer acquisition cost, business revenue, purchase order values, sales conversion rate, etc. Also, you must look for the reporting feature with metrics like calculated customer margins, profit rates, sales vs. returns, refund rate, and inventory depreciation, which will help you track the business growth profoundly, and understand the forecasting and budgeting for scaling.
5. Customer-focused Solutions
You must know that merely purchasing the software and shifting your accounting tasks won’t solve the problem, because while working with the solution you may require customer support or technical assistance from the software provider.
While no matter how instructional and detailed the user guides and work manuals are, your system needs a proper onboarding process and technical support during the challenging times. Hence, your ecommerce accounting software selection must have good user ratings, and testimonials, along with other user-friendly support channels with faster response time.
6. Easy Sales Configuration
Calculating taxes by yourself is not possible in today’s competitive business landscape. So, you must need an accountant or expert guiding and calculating your sales and income taxes for the smooth audit and tax filing experience. But, what if there is an automated system available which removes the need of manual intervention and errors?
With the ecommerce accounting software system, you can easily deploy your tax filing and calculations on the system with full accuracy and timely updates. This keeps you ahead of the tax cycle, and you don’t need to worry about the audit season to find out your mistakes and deeds.
Final Thoughts
Shifting to the developed technology for your business operations is a great choice for the future of your ecommerce business. Accounting has always remained a hectic task for even the accountants and the experts, as they cannot focus on strategizing and forecasting the financial performance of the company. With an ecommerce accounting software in place, your complete accounting experience gets digitized, and automated. With multi-platform integration, and efficient reporting feature it also provides you with advanced data security features, and easy sales configuration accounting system.