In 19 Century or the start of the 20th century online shopping or the idea of e-commerce was very absurd. But it was a very unimaginable sudden shift from real selling and buying to virtual selling and buying, just name it and you will find it on the online store, which will deliver to your doorstep.
Due to the novel Covid-19. People prefer to stay at home and even work from home becomes the new way of work. This totally shifts everything from real to virtual. To match the growing demand for online services and goods entrepreneurs and the business community is very active which results in the opening of e-commerce businesses.
E-commerce Business
An e-commerce business is a setup that lets firms or companies buy and sell online or over the internet, there are majorly four types of virtual businesses. The first one is the more common one.
- Business- to- Customers ( B2C)
- Business- to – Business ( B2B)
- Customer -to – Business (C2B)
- Business -to- Government ( B2G)
The last one is also kind of emerged in the B2B category.
The E-commerce industry is growing day by day so the number of startups is also increasing. No matter what is the form of the business whether it’s online or in real some departments of a business are still in need. The importance of accounting and Bookkeeping for a healthy business is not overestimated.
Why need accounting software
So all e-commerce businesses whether they are new startups or are the established ones, are in need of accounting and proper bookkeeping, e-commerce companies are in more need of accounting and bookkeeping than real businesses, they are dealing with lots of stores (Shopify, e-bay, Amazon) and peoples (recruitments for different posts like sales executive, marketing manager) so it is more complex in nature.
To tackle this need majority of e-commerce stores or business companies need virtual bookkeeping services, mostly startups or entrepreneurs as it is easy for them and is also less expensive. In starting there was none but now there is a list of software offering unique and very helpful features in different packages, depending on the budget. The most known one is QuickBooks.
Challenges facing by E-commerce Business regarding QuickBooks
The biggest challenge facing E-commerce business occurs when it comes to automation, as the data of e-commerce business is very complex if you use automation it will enter into the wrong fields on its own, which will result in a big disaster. If not get checked properly.
If you have just started a business and don’t have this many resources to employ and you are thinking about doing your bookkeeping on your own in starts as you only have a handful of transactions you can do this but later or sooner as the number of transactions will increase you will be in need to hire someone virtually or traditionally depends on your work to do books on QuickBooks as it requires technical knowledge and expertise.
In an e-commerce business, lots of e-commerce businesses are integrating with each other and send their data, if not entered properly in the accounting software manually it will be a nightmare at the point of closing books.
If automation is the process you’re using for Bookkeeping you need to check the entries at least once. When you are working across many states the unit of currency varies so sales tax also varies, and accounting software cannot solve this all on its own.
Just like any other business, the data matters a lot sometimes the entries are missing, and sometimes it gets duplicates, during the integration with third parties it needs to reconcile timely.
Usage of QuickBooks application is also a problem to use it properly the third-party applications is also a need which is not available so automation in the application is problematic.
Automatic integration of apps creates a mess.
Solution
To improve your experience with QuickBooks you need to hire a professional who has good hands-on Quick books and has good knowledge of Accounting. For the smooth work go for the
Cloud space, will enhance the work output. Learning QuickBooks shortcut keys will amplify the speed of work and will also reduce the time to do work. One can prevent oneself self by choosing the best options of applications and by doing the Bookkeeping manually. This can also be done by hiring one of the virtual bookkeeping services providers. Long and short hiring of professionals for bookkeeping or the bookkeeping services provider will help a lot will improve your work experience.
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