Before increasing ad spend, running another discount, or ordering more inventory, it helps to know what your recent sales actually earned.
Ecommerce bookkeeping brings together information from your storefront, payment processors, bank accounts, and inventory records. Reviewing those connections regularly can help you spot missing costs and make more informed spending decisions.
Start with these four checks.
A payment processor or marketplace payout may reflect several sales, refunds, fees, and other adjustments. Its arrival date can also differ from the dates of the underlying orders.
Choose one recent payout and trace it through:
If software imports your sales automatically, confirm how it handles the bank deposit. Matching an imported sale to its payment should avoid recording the same revenue twice.
Supplier price increases can change your margins even when your selling prices stay the same.
Pick a few frequently sold products and compare their recorded costs with recent supplier invoices. Ask your accountant how inbound freight and other purchasing costs are included.
Also review how returns, damaged stock, and inventory differences are recorded. A returned item that can be resold needs different operational handling from one that is damaged.
Assign responsibility for updating cost information. Without a clear owner, outdated figures can remain in reports long after prices change.
Before repeating a successful promotion, review the costs associated with those orders.
Start with sales after discounts and refunds. Then consider product costs, payment or marketplace fees, fulfillment, shipping you absorb, and advertising associated with the promotion.
This calculation helps you understand how much remains to contribute toward operating expenses.
Use consistent cost categories and avoid counting an expense twice. If a cost is already included in your product or fulfillment figures, keep that treatment clear.
A practical question: Did the promotion leave enough after these costs to justify running it again?
Map out the payments required for your next order, including supplier deposits, balances, and freight. Place them alongside expected payouts and existing bills.
Then test a slower sales scenario. Consider what happens if stock takes longer to sell or a shipment arrives late.
This gives you a clearer view of how much cash the purchase could tie up and whether you need to adjust its size or timing.
Want help understanding your numbers?
Accounting Frontier offers bookkeeping and CFO support, including financial reporting, budgeting, and cash flow forecasting.
Schedule a free consultation to discuss your store’s accounting questions. Bring details about your sales channels and current systems so we can understand your needs and discuss how we can help.