Starting a business in online retail or ecommerce is a challenging task. You start with learning about different ecommerce business models, then find the right business framework, build an ecommerce website, and create an effective marketing strategy.
While these steps get online stores up and running, there are more factors in online entrepreneurship that aspiring business owners need to tend to. One of which includes business financing, accounting, and bookkeeping.
When it comes to online businesses, QuickBooks is considered one of the most popular and beginner-friendly accounting services available. Because of its simple yet expansive set of features, QuickBooks is primarily used by small to medium-sized businesses to keep track of different aspects of their finances including taxes, inventory, and bookkeeping.
If you’re planning to use QuickBooks for your online business, here is a brief overview of its services as well as a guide on how to integrate QuickBooks into your business.
What Is QuickBooks?
Developed by renowned international software company Intuit, QuickBooks is an accounting software that offers solutions for managing personal or business finances.
While its primary purpose is to keep track of income and expenses, QuickBooks services have expanded to cater to small to medium-sized business operations. It aims to automate much of the accounting processes involved in online retail including the likes of invoicing, payments, and even advanced pricing.
As of the latest reports, QuickBooks has gained more than 3.3 million users, 40% of which consists of small and startup businesses. The QuickBooks software is available in a wide range of online channels and platforms.
It is compatible with different operating systems including Windows OS, Mac OS, iOS, and Android OS. It also comes in either cloud-based or online-only versions. While the service is not free to use, QuickBooks has pricing tiers to cater to clients with different needs and preferences.
The QuickBooks software price ranges come as follows:
- QuickBooks Simple Start – $25/month
- QuickBooks Plus – $80/month
- QuickBooks Advanced – $180/month
- QuickBooks Desktop Pro Plus – $349/year
- QuickBooks Premier Plus – $549/year
- QuickBooks Enterprise – $1275/year
7 Amazing QuickBooks Features For Your Ecommerce Business
Track Income and Expenses
One of the primary features of QuickBooks is its ability to automatically keep track of your personal or business income and expenses. All you need to do is to link your bank account or credit card to the software and it will automatically manage your purchases for you. You can also manually input cash transactions to keep your record as accurate as possible.
Invoices are important in managing the finances of any business or organization. With QuickBooks, you can easily create, send, and track your invoices whether you are the one receiving or sending them out. QuickBooks will not only manage your invoice receipts but will also record the amount receivable and deductible to ensure that invoice payments are on track.
Access Detailed Financial Statements
Having insight into how your business finances are doing is essential in making future business plans and decisions. However, knowing your income and expenses sometimes is not enough.
Aside from managing your cash inflow and outflow, QuickBooks can also provide detailed financial reports and statements. It can provide you with profit and loss reports, balance sheet reports, and statements of cash flows on a monthly, quarterly, and annual basis.
Manage Employee Payroll
Payroll management is considered one of the most time-consuming tasks, especially if it is done manually. Doing payroll for a handful of employees is manageable.
However, creating payroll manually for dozens of employees can be difficult as it is laborious and prone to error. QuickBooks can be an easy solution as it can automate payroll management and handle each employee’s paychecks based on their recorded timesheets.
Pay Bills Online
QuickBooks also comes with an online bill payment feature that allows businesses to conduct bank transfers or check transactions with ease. It also allows credit card payments to suppliers or clients online. With QuickBooks Essential, Plus, or Advanced, you can process a wide range of online bill payments conveniently on your device.
Keep Track of Business Inventory
Ecommerce businesses can greatly benefit from QuickBooks’ inventory management feature. Aside from your finances and bookkeeping, business owners can also use QuickBooks to manage and keep track of their inventory.
QuickBooks can record every digital good, product, or service available and automate its record with every transaction made. It can even notify you when certain quantities are low so that you never run out of stock of items for online sale.
Access Online Payment Options
One of the beauties of electronic commerce is the ability to shop conveniently with the use of any digital device. This includes processing your purchases and payments completely online. With QuickBooks, you can now accept online payments for your ecommerce website or online store, and each sale, credit card fee, and cash deposit would be automatically recorded instantly.
Step-by-Step Guide To Setting Up Ecommerce Quickbooks
Given the benefits of using QuickBooks in your ecommerce business, you might want to avail of its services immediately. To help guide you, here is a step-by-step instruction on how to set up QuickBooks.
Create an Intuit account and head over to QuickBooks’ list of services. Then, purchase the type of QuickBooks software you want to avail of. You can opt for a monthly subscription or a one-time payment yearly plan at a significant discount.
Once you’ve completed your purchase, head over to the QuickBooks download page. Select the product you bought and proceed to download. Make sure to select the right product and version of QuickBooks.
After the file is downloaded, select it to open Quickbooks’ Install Wizard. Generally, the process would start automatically. But if it doesn’t simply select the install icon located on your desktop or head over to Quickbooks’ file location and directly run the installation process. To continue with the installation, read the license agreement and select Accept and Continue.
The next step would need you to enter the license and product numbers of your purchase. You can simply choose the option to Locate and the program will automatically take you to a page where you would need to input your business phone number to get the necessary details. On the other hand, you can also log in to your Intuit account to find these details yourself. Once done, proceed to the next step.
To complete the installation process, select the option Express for Standalone Machine Workstation. Then, choose Custom and Network options in order to install QuickBooks on a server.
If QuickBooks is already available on your device, you would be prompted with a choice to either upgrade or change the location of your program installation. Simply select the appropriate option and proceed to complete the installation progress.
If you’re installing QuickBooks for the first time, you would need to reboot your computer. Otherwise, you can proceed to open the program and activate the software.
Using accounting software such as QuickBooks to automate your business finances can be revolutionary. Not only will you be able to keep track of your income and expenses, but you would also have the ability to manage your inventory, invoices, and payments with ease.
You can also gain insight into your employee’s productivity, monitor a project’s profitability, and manage your taxes. If you’re looking to grow your ecommerce business, consider integrating QuickBooks as part of your business plan.
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