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Do I Need an Online Accountant for My eCommerce Business?

Shopping trolley with bags inside

Earlier in the day, e-commerce accounted for only 7.4% of the global retail sale. However, today there is a massive jump in the numbers. This year, the percentage has increased to 18%. By 2024, it is predicted to be around 22%.

E-commerce has highly impacted our way of living. People today consider purchasing everything online from phones to groceries or clothes. This is why businesses have moved online. But, there is one side of running a business that needs professional advice. And that’s accounting.

If you aim for growth and want to scale your business, then hiring an accountant is vital. Often we see people skipping accountants for e-commerce business. However, this affects their business and makes their accounting a mess. Here is how e-commerce business accountants can help align your business goals.

Help with Sales Channels

Unlike running an offline business, online e-commerce is a different game. Here, the cash flows not through your bank account but through sales channels. In such a scenario, the bank statement may not be enough to complete the picture. You will have to keep a track of the financial records that happens using sales channels. And this is exactly what an accountant can do for you. A good accountant understands digging through sales channels for complete financial transparency.

Familiar with Online Accounting Software

Today, a majority of e-commerce companies make use of online accounting software. These not only save time but also offer a hassle-free process. A professional accountant understands the functioning of this accounting software. Also, they are aware of how to make the best use of the same. Some examples of online accounting software include QuickBooks and Xero. The best part about this software is that they have integrated multiple features like payroll, sales tax, inventory and more. Accountants for an e-commerce business will help ensure your sales stays on track.

COGS & Inventory

Accountants for e-commerce businesses know how to get the GPM right. GPM stands for Gross Profit Margin which decides the fate of your business. E-commerce business accountants have an in-depth knowledge of GPM. This enables them to tackle COGS and revenue accordingly. Professional accountants can accurately record COGS without any errors. Achieving the correct records are essential to the business without which everything can go haywire. Thus, hiring accountants for e-commerce businesses will understand and implement these for you.

Conclusion

E-commerce companies make the best use of technology. This is why an accountant with tech-savvy features will benefit your business. Not only does an accountant perform accounting functions but other major roles. Hiring an accountant means handling an important aspect of your business: finance. Your online e-commerce needs a trustworthy accountant who does their job well. An online accountant is highly crucial for any e-commerce business. And there are multiple reasons why you should hire one immediately!

For more information, please contact us on 02921 056209 alternatively email admin@e-accounts.co.uk

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