It goes without saying that most Amazon sellers often start their businesses with limited back office organization. This typically creates many bookkeeping and accounting issues, so as volume and revenue grows so does the number of financial organizational problems. Issues like these can cause tremendous headaches come tax season!
Amazon sellers should focus on hiring a consultant or bookkeeper to assist with managing the business finances. It is often more cost efficient to outsource your Bookkeeper/Accountant rather than have one full-time. It will also limit your company’s liability.
There are considerations that an Amazon Seller should be on the lookout for when hiring a bookkeeper. There are plenty of bookkeepers out there. Many of those bookkeepers do not specialize in Amazon specific businesses.
As an Amazon seller, when hiring a bookkeeper be on the lookout for the following:
- a2X - a platform focused on automated accounting for Amazon sellers with direct integrations into Xero and Quickbooks. a2X has a direct focus on fees, FBA inventory, and cost of goods sold. Eliminate the chance of errors by implementing a2X as a technology solution.
- Having a bookkeeper manage your finances utilizing a2X with your cloud accounting platform will ensure accuracy, organization, and reduce the chance of error due to user entry.
- If you sell on other platforms such as Alibaba, Etsy, eBay, Jet.com, etc. you will want to ensure the bookkeeper also has proficiency in their accounting platforms and features. You should not be responsible for your bookkeeper's learning curve on anything they are not fully in tune with.
Don’t forget to consider other aspects of your business that may also benefit from being outsourced. Do you have payroll, human resources, CFO, tax specialists, and other obligations that could benefit from an external consultant's help? These are all items that should be kept at the forefront of your operations to ensure maximum efficiency and profitability. Look for all of the above traits in any potential external provider to streamline your company’s needs.