Why is Accounting Integrated Software a Must Have for Online Sellers?

Why is Accounting Integrated Software a Must Have for Online Sellers?

It doesn’t matter whether you are associating with eCommerce or any other business; managing accounts will always remain a priority. To keep a track of your profit and loss, it is essential to manage your finances accurately. You must understand that it is one of the most crucial factors for the success of your online business. Apart from this, you must face it that spreadsheets or manual work are no longer good enough to manage your finances appropriately. It carries the risk of manual errors and doesn’t let you calculate and analyze your accounts effectively.

However, you do not need to worry about it anymore because today, you are privileged to use accounting-integrated software. It can let you manage your accounts and help you with inventory management, payment reconciliation, returns, and shipping. This software automates the whole manual process and saves your precious time and energy. Integrating your current accounting software with a sturdy integrated software such as eVanik OWS can consolidate the overall financial cycle of your eCommerce business. Let’s look at various reasons that are enough to get along with such software. In this blog, we have mentioned various reasons that justify the importance of accounting software for your business.

Five Essential Key Features of an Accounting Integrated Software

Before moving forward, knowing the beneficial vital features of an accounting integrated software is essential. Let’s’ find out what they are.

Easy to Handle: One of the essential features of automatic accounting software is its easy handling. Eventually, you do not need to be a software expert to use this software. As an online seller, you will be able to document your financial transactions and other expenses more effectively and efficiently. Although, initially, you may have to spend some time on it to understand the process in an appropriate manner.

Hassle-Free Integration: As an eCommerce seller, you might have to use various services or platforms to manage inventory, shipping, payments, and returns. However, automated accounting software can integrate seamlessly with marketplaces, allowing you to handle all these aspects independently in a single dashboard. Along with accounting, it can also take care of such vital tasks.

Real-Time Data Reporting: One outstanding key feature of integrated accounting software is that it allows you to analyze your business data and attain valuable insights in real time. This way, it can become easier for you to evaluate your daily performance and work on those aspects that need more attention. Real-time accounting reports can allow you to find out and identify your business patterns and plan for success accordingly.

Impeccable Customer Support: You may get into some trouble or may experience some difficulties while using such software. That is when you may require assistance to come out of a mess. These software providers offer impeccable 24×7 customer support to guide you in finding beneficial solutions to your problems and bring you out of the mess.

Five Reasons to Use Accounting Integrated Software

Provides Finances Overview

Be it eCommerce or any other business; it is essential to have a complete overview of your finances to understand the flow of your business. One of the most prominent reasons to use accounting software is that it provides you with all the essential information regarding your financial flows. It can become easier for you to analyze whether your business is on track or not, whether you are at the correct phase of your business, or if you need to put in some extra effort. This analysis is crucial for the growth of your online business.

Helps in Managing Your Cash Flow

As you know that this software can help you in managing your finances much more appropriately and efficiently; in addition to that, it can also streamline the process of cash flow as well. It is simply because it shows what you are actually earning, your expenses, and your online business’s profitability. Once you are able to manage your cash flows properly, it will be easier for you to invest more into your business’s other aspects too. With the help of this software, you can easily be able to have a hold on your money for an emergency. Ultimately it can help you to grow your business positively.

Provides Profound Business Analytics

One of the significant reasons to use eCommerce accounting software is that it gives you the immense ability to gather essential analytical information about your eCommerce business. You can quickly analyze your business’s data to get deeper insights into the processes of your business. It will become effortless for you to analyze the ongoing performance of your business.

It can also help you to find out those glitches that require improvement. This way, when you scrutinize your sales data, you will be able to determine which products are selling well and which are not. In this manner, you can stop stocking up on those products that are not selling well and can save money on them. On the other hand, data analytics can help you to keep track of total revenue, customer profitability, and other factors.

Eliminates Human Errors

Human errors are inescapable in the traditional accounting practice. Clumsy spreadsheets can make it terrible and hard for you to fetch the exact financial information. It can turn your financial part upside down, and you won’t be able to analyze the accurate cash flows and total revenue, for that matter.

However, automated accounting software can make this process hassle-free and streamlines the entire process. Such software can also eradicate the duplication of financial data if you use it for invoicing, reporting, and managing other transactional expenses. Real-time accounting software like eVanik OWS also allows you to track historical financial data.

Help With Adequate Bookkeeping

To manage your accounts properly, it is high time you consider the need for integrated accounting software to process your online transactions accurately. In this manner, it is vital to keep efficiency in bookkeeping. Keeping all the bookkeeping separately can be an unwieldy and time-consuming task. However, such software can effectively wave off the requirement for separate bookkeeping. Thus, it can become uncomplicated for you to cross-check the miscalculations to manage the overall financial accuracy and provide accurate and systematic invoices to your online customers.

Helps You Become 100% GST Complaint

Setting off the bulk payments against every transaction and recording the monthly GST number in the sales voucher to receive the GST tax input can become difficult for you as an eCommerce seller. Apart from that, you can also find it challenging to match the sales and returns with the MTR report provided by various eCommerce channels and file GSTR accurately on time. However, accounting software allows you to match the MTR report with the integrated data into your Tally Prime. In this way, it provides excellent eCommerce accounting and makes you 100% GST compliant.

Conclusion

Hence, now you must have understood how necessary accounting software is for your eCommerce business. You must get along with automated accounting software if you are in this business and selling your products through multiple eCommerce platforms. If you are still not preferring it for your business, you may end up with miscalculated and overlapped financial statements.

However, such software provides comprehensive and precise financial data and sales reports in a centralized manner. An instant and real-time overview of your profits can allow you to plan and manage your finances and budget in a better way.

Sell on Meesho & Become an Essential Part of the eCommerce Industry!

Sell on Meesho and Become an Essential Part of the eCommerce Industry!

Who doesn’t want to earn an extra income in this overcrowded and over-expensive human era? A good source of extra income can be a blessing for every eCommerce seller. In this regard, eCommerce platforms like Meesho provide an immense opportunity to generate revenue while being in your comfort zone or from home. Suppose you wish to sell or resell products through social media platforms such as Facebook, Whatsapp, and Instagram and sell on Meesho. This emerging platform allows every common man and woman to start their own online business.

As an eCommerce seller, if you want to earn immensely by reselling your products, then Meesho is the perfect eCommerce joint for you. It is specifically a reseller eCommerce platform that one can use to resale various product categories such as women’s wear, men’s wear, kids’ wear, home appliances, cosmetics, etc.

This platform provides a massive opportunity to local sellers to make their online presence and earn their bread and butter. Compared to other eCommerce marketplaces such as Amazon, Flipkart, and Myntra, it is much easier to start your journey with Meesho. You don’t require a hefty investment, nor do you need to pay a considerable commission while selling products on this platform. This blog will discuss multiple aspects of selling products on Meesho.

What is Meesho & How It is Different From Other Platforms

Meesho has become one of India’s leading reselling eCommerce marketplaces. Two Delhi graduate Iitians, Sanjeev Barnal and Vidit Aatrey established this glorious channel in the year 2015. At present, this eCommerce platform has more than two crore resellers. This platform allows resellers to get associated with various manufacturers from their locations and list their products on this platform to sell. As a Messho seller, you can choose several products from the listed categories and sell them through social media platforms. The best factor about this eCommerce venture is you can start your business from any corner of this country. Investment is relatively low, which is an excellent relief for new sellers. If we talk about how this platform differs from others, well, it allows every local seller and ordinary folks to start their own online business. Except for Amazon, no other platforms allow sellers to resell their products.

Sell on Meesho By Following These Easy Steps

If you want to sell on Meesho and generate immense profits, you must follow some steps effectively. Here we have mentioned some essential selling guides that can help you sell or resell your products on this platform. In order to start selling on Meesho, you must have a GSTIN number and an active bank account.


#Step1 ( Create Your Meesho Seller Account)

To sell on Meesho, you first need to download the Meesho app and register yourself on this Meesho supplier panel. Now you have to enter your GSTIN number, your PAN number, and the details of your active bank account. These are a few pieces of information mandatory to create a seller account on this eCommerce platform. Once you provide this vital information, you must provide your order pick-up address to this platform. In this way, your registration process will be successful, and now you can visit the Meesho supplier dashboard via your email id and password. Apart from that, you may also require eCommerce accounting software such as eVanik OWS to manage your accounts and other backend operations.

#Step2 ( Product Listing on Meesho)

Once the registration process gets done, the next crucial step is listing the catalogs of products you want to sell on this platform. Listing more than three product catalogs can help you with more orders and, eventually, more revenue. Product listing should be accurate with excellent quality images and descriptions. It can help you attract more eyes and sell your products efficiently and effectively. Meesho provides two options to upload your catalogs. You can upload single as well as bulk product catalogs on this platform. Make sure that your listing is up to date and that you are not missing on any factors.

#Step3 ( Start Receiving Orders from Customers)

After listing the products on Meesho, you can start promoting your products through various social media platforms. On the other hand, you can precisely receive the orders from the Meesho app as well. In the process of receiving a dynamic number of orders from customers, it is essential to manage your inventory profoundly and to ease this problem, and you can get along with eVanik OWS and use their significant inventory reconciliation feature. This market is competitive, and to beat your competitors, you may need to take the help of automated software.

#Step4 (Start Delivering Your Orders)

Product delivery is an essential aspect of the Commerce business. Once you are ready to receive customer orders, Meesho sends the email notification to your supplier panel app. You need to accept the order first and then start packing the product with accurate labels on each package. This platform’s minimal shipping charge can be counted as no shipping charges. After the packaging, hand over the order to the courier partner, Meesho has a panel of various third-party logistic partners who take responsibility for picking up the package and delivering it to your customer’s doorstep.

# Step5 (Start Receiving Payments on Delivered Orders)

As a Meesho seller, you can receive the payment on every single order after fifteen days of order delivery. This process is the same for the cash on delivery orders as well. The payment will be credited to your active bank account. If you want payment details, you can check your Meesho supplier panel. Through this panel, you can receive every detail regarding your payment cycles, such as how much your deposited balance is, future payments, and other payments. On every order, Meesho charges a fixed commission from their sellers; it can be less than twenty percent on every order.


Conclusion

Meesho is a flourishing eCommerce platform in India for small businesses. Absolutely anyone can start selling products on this platform with a lower investment. Significantly it has provided extraordinary opportunities for homemakers to earn their living without being dependent on anyone. Sellers, resellers, and small brands can also choose this platform to sell or resell their products effectively and scale up their customer base. Meesho is getting more significant daily, and customers are showing tremendous interest in it.

However, in this platform’s initial year, customers complain about the product’s quality. Still, with time, sellers are more likely to deliver a good quality product to their customers. In a nutshell, we can say that this eCommerce joint is a recommendable business opportunity for every small and typical vendor and retailer.

A Complete Guide to Profit Margin & Its Importance For Online Business!

A Complete Guide to Profit Margin & Its Importance For Online Business!

Running an eCommerce business is challenging because of the immense competition in this field. It is hard to survive if you are not following the guidelines and are unaware of this business’s various dimensions. The latest research suggests that only 25% of eCommerce businesses survive, so managing every aspect of online business is crucial. To know the growth graph of your online business, it is essential to calculate your profit margin ratio.

To know the actual position of your business, it is imperative to know how much profit you are making from it. Running a business blindly can become the most prominent reason for business failure.

If you are new to this eCommerce business, you may find it much more challenging to manage your finances and calculate your profit margin. However, accounting software for eCommerce can help you manage your accounts efficiently, and once you can manage your finances properly, it will become much easier for you to know your profit margin. In this blog, we will mention what profit margin is and why it is vital for your eCommerce business.

What is Profit Margin?

A profit margin is a figure that is retained after deducting various expenses. In simple terms, we can say that, after selling your products successfully, what revenue you generate by selling one individual product category is known as the profit margin. A higher profit margin ratio indicates your eCommerce business’s good financial health. There are three significant types of profit margins that we are going to mention in the following points.

Gross Profit Margin

Gross profit margin usually refers to profit on a specific product or service rather than the entire online business. Analyzing the gross profit margin can help you determine the pricing strategy because a low gross profit margin means you need to bring changes to a specific product to make it worthwhile.

To calculate your gross margin profit, you need to subtract the price of products sold from net sales, divide the outcome figure by the net sales and get the ratio; you will get the gross margin profit in the form of a percentage. The formula is; [Total revenue-COGS]/Total revenue(x100). It can help you to bring changes in the pricing of your products.

Operating Profit Margin

The operating profit margin indicates how much the profit ratio you attain after spending money on some of the indirect expenses to run your business. It is generally calculated by dividing the operating profit by the total amount of revenue. Comparing the operating profit margin with the gross profit margin considers a range of other operating expenses such as warehouse rent, shipping charges, eCommerce platform fees, etc.

Most sellers don’t calculate the operating profit margin with the other expenses. Still, the collective calculation of such expenses can provide you with a clear insight into your business’s profit, and you might get to know how these expenses affect the profit of your online business.

Net Profit Margin

Net profit margin basically showcases the exact profit of the business after subtracting all the other expenses, including the cost of products sold, operating costs, and other expenses and taxes. Net profit margin gives you an idea about the overall success of your eCommerce business. If you acquire a higher margin rate, it indicates that your business is doing well.

If it’s not, it can be a matter of concern for you, and you must work on it religiously. On the other hand, you can also use the net profit margin to compare your business performance with your competitors as well. The net profit margin is the exact revenue of your business, and you must have clarity on it. In calculating your net profit margin, it is essential to manage your finances first; for that, you can use accounting software for eCommerce.

How to Increase Your Profit Margin?

Cut Down Your Operating Expenses

To increase your profit margin, it is best to minimize the costs of your operational expenses. However, knowing what you need to cut down on your operating expenses is quite challenging. It can be tricky because there are various essential expenses you can not reduce, such as several fees, charges, and taxes.

To successfully reduce operating expenses, you need to analyze your business operating expenses closely; only then can you decide what you can cut down and what not. Instead of taking first-hand services, you can optimize and outsource them successfully.

Hike up Your Product Price

Generally, eCommerce sellers have this fear that if they raise their product prices, they might lose their essential customers, or their customers may abandon them. However, if you provide a pleasant shopping experience to your customers and they are already happy with your product, you can increase your product prices.

We are not saying that it will be easy for you; you need to use some psychological marketing tactics. For example, if you are selling a single product for Rs.150, it will be great to sell a combo product at Rs. 200. It can be a great idea to increase your product by selling one item at an average price and one at an increment price. Such a tactic can help you attract more customers as they might think they are getting a good deal. This practice can help in increasing your profit margin immensely.

Increase The Customers’ Trust

Whether you believe it or not, you need to understand the fact that the trust of the customer is everything you require to run your eCommerce business and increase your profit margin rate.

As an eCommerce seller, gaining the customer’s trust is essential. Now the question is, how will you do that? Well, in this regard, an enormous number of reviews on your product page can help you with it. Positive feedback or reviews have the impeccable power that develops trust in your potential customers and makes them invest in your products.

Increase Your Average Order Value

It is vital to increase your profit margin to increase your average order value(AOV). If you are unaware of the average order value, you need to know that AOV is the average amount a customer contributes per transaction in your online store. To calculate your average order value, you need to use a simple formula; Divide the total revenue by a total number of orders, and the outcome you will get is your average order value.

As an online seller, you can receive higher profit margins by increasing your AOV, and to increase your AOV, and you may require forcing your customers to spend less money. You can offer them free shipping on any exact order amount. You can implement upsell and cross-sale and offer them a complementary product along with any specific product they want to buy.

Conclusion

Hence, these are some of the ideal ways that help you to increase your profit margin. In the points mentioned above, you might have understood why it is essential to know about the ratio of your profit margin graph. Now, undoubtedly, we can say that enhancing profit margins is a profitable strategy for your eCommerce business.

A higher profit margin can make your business stand out from the competition and make it sustainable for longer. It doesn’t matter how new or old your eCommerce business is, you must know about your profit margin and manage your finances accurately. In this regard, you can use eVanik OWS’s help for compelling management of your accounts. 

 

Why Do You Require Accounting Software for eCommerce Business!

Why Do You Require Accounting Software for eCommerce Business!

While dealing in the eCommerce industry, you need to take care of your finances and manage your accounts successfully. Always keep in mind that you end up selling products online to earn some profits, and to keep that profit on track, you need effective accounting software for your eCommerce business. Keeping up on the books can be time-consuming and exhausting without a dedicated eComm accounting software. If you are selling your products all over India, you have to track the taxes for every state, and it can be a full-time job by itself.

Mistakes and errors in accounting and taxes can negatively affect your business. If you think you can earn profits after skipping this step, let me tell you that you’re living in denial. There is no shortcut to generating revenue by skipping the accounting process. You have to go through this if you associate with any online or offline business. To maintain the perfect accuracy in accounts, you need to speed up your business’s accounting system. In this particular blog, we have mentioned the requirement of accounting software for an eCommerce business.

Significance of Accounting Software for eCommerce Business

The traditional way of doing the accounting part increases the chance of significant errors. That is why you need to take the help of integrated accounting software, as it is the only solution to all the manual accounting and financial issues of an eCommerce business. This industry is emerging rapidly. That’s why you need to be as quick and accurate as possible. Accounting software such as eVanik OWS takes over all the responsibilities right from reconciling payments and tally integration. Apart from that, it also provides the solution for inventory management, omnichannel order processing, and so on.

The Clarity in Financial Report

To have clarity on finances and visualize the bookkeeping, you need to have a chart or graphs. Accounting software for eCommerce businesses provides you the clarity to understand your business’s financial statements in real-time. With a single click, you can get insights about all the individual orders and other expenses. This type of accounting clarity lets you consider your finances at any second rather than consulting with multiple accountants or waiting until the end of the month. It can help you learn essential information about your customers’ spending habits.

Hassle-Free Integration

Most eCommerce sellers use tally to manage their accounting part. Accounting software such as eVanik easily gets integrated with your tally prime and makes managing your accounts much more effortless. It provides you with a matching tool where you can match your sales tax report with the data integrated into tally prime. While using the accounting software, it won’t require you to install any third-party module in your tally prime because it is already integrated with tally prime through API. Apart from that, it minimizes the requirement of downloading or uploading any excel CSV (comma separated values) files from various eCommerce marketplace seller panels.

Accuracy in Bookkeeping

It doesn’t matter how good you or your team are at doing the maths manually in the eCommerce business. We are human, and humans are prone to error compared to computers. You have to understand that integrated payment processing is more accurate in any individual transaction. To maintain accuracy in bookkeeping, you need to take advantage of any accounting software. It can also screen the errors across informational categories to maintain overall accuracy. To maintain the cash flow and grow your business, you must provide accurate bills to your customer on time. The best accounting software lets you automate the invoicing as well. You can also send follow-up reminders, create recurring invoices, and accept digital payments directly from the invoices.

Integration with eCommerce Platforms

If you sell products on various eCommerce platforms, you require accounting software for eCommerce businesses that integrates easily with multiple eCommerce channels. Entering every transaction and other expenses manually includes significant errors, which is time-consuming. However, the software integrates smoothly with various eCommerce channels to provide accurate financial information and data. The software that integrates with your banking system is something that all businesses find convenient for themselves. If you are dealing in the eCommerce business and selling products on various platforms, a compelling accounting software with integration feature is something crucial you should look for.

Three Tremendous Types of Accounting Software

Cloud-Based Accounting Software

This type of software totally relies on the cloud to keep all of your financial data in one place and provide you the access to operate it from your computer and smartphones as well. Undoubtedly, it is convenient to access, but on the other hand, it does open up your data to potential hacking on a cloud. So, while choosing such software, you will have to check out the security they provide.

Cloud and Desktop-Based Software

This kind of software allows you to keep some information on the cloud and other essential information on your desktop. It can be much beneficial when you want to have some reports accessible online, but you don’t automatically want all of your business’s financial data on the cloud.

Desktop-Based Software

Desktop-based accounting software keeps all of your data rigidly on the desktop. Until or unless you export it and share it in some other way, you will not be able to access it on any available cloud networks. If you don’t want to take any risks while having your information hacked on a cloud, it will be an efficient and secure choice.

Conclusion

If you want to manage your online business’s finance efficiently, you must use accounting software for an eCommerce business. It will provide you with an instant overview of your profits and expenses, which ultimately helps you plan and fix a budget for your business. Besides this, the accounting software allows you to analyze your financial data. This can make you streamline the whole eCommerce process, manage the inventory and develop intelligent pricing strategies. All of it can help you to stay competitive in the market. So, if you are convinced that you should use accounting software for your online business, why not consider the eVanik OWS. It provides you with all the essential services required for your online business. It provides you the excellent feature of tally prime integration, Zoho books integration, Aligns books integration, and Quick books integration. Apart from accounting, it helps manage the inventory and provides the payment, shipping, and returns reconciliation benefits.