Ecommerce Accounting Software

Most founders can tell you their revenue. Not all can tell you if their business is healthy... Early on at HomeServe, I made a mistake that I see repeated constantly by founders building serious businesses. I thought that if I grew revenue fast enough, economies of scale would follow and profitability would take care of itself. It did not. As our emergency plumbing business grew, the break-even line got further away, not closer. Monthly losses grew from £10,000 to £50,000. Revenue was going up, but the business was getting worse. That was one of the most important lessons I have ever learned. So let me break down what a Profit and Loss statement actually is, why it matters, and what most founders get wrong. What Is a P&L? A Profit and Loss statement shows whether your business is making or losing money over a set period. It tracks every pound coming in and going out, from revenue down to net profit. The Formula: - Revenue minus cost of goods sold equals gross profit. - Gross profit minus operating expenses equals operating profit. - Operating profit minus interest and tax equals net profit. The three numbers every founder needs to understand: 📈 Revenue (Vanity) It tells you nothing about the cost of generating it.  Growing revenue before you have a proven model increases losses faster. 📉 Profit (Sanity) You can be profitable on paper and run out of cash.  Blockbuster was profitable before it went under. 💵 Cash (Reality)  The one number that tells you the true health of your business.  Cash will always be king. Three mistakes founders make with their P&L: 🚫 Chasing revenue before the model is proven. 🚫 Mistaking profit on paper for cash in the bank. 🚫 Checking the P&L monthly instead of tracking cash weekly. The dashboard rule: Review cash weekly.  Review revenue and profit monthly. By doing so, you can avert any crisis. A P&L isn't just for your accountant's eyes only. It is the most honest picture of the health of your business. If you cannot read yours confidently, I suggest you fix that this week. For more frameworks like this, subscribe to my weekly newsletter, How to Make a Billion. It has lessons and stories from the world's top founders and CEOs. Subscribe here: https://lnkd.in/ergDQtiK Comment below if you have any questions about your P&L statement.  And be sure to share this post with other founders and CEOs who might benefit. 

Line-level profitability reviews are the lifeblood of profitable vendor accounts. Yet most 1P brands have no idea about their ASIN-level net margins. ❌ Instead, they look at Gross Margins and #Amazon's Net PPM. But that doesn't uncover hidden cost centres like chargebacks, shortages, and coop deductions. So make sure you create reporting systems that capture the unit economics of your customer P&L. 𝗛𝗲𝗿𝗲'𝘀 𝗵𝗼𝘄 𝘁𝗼 𝗴𝗲𝘁 𝘀𝘁𝗮𝗿𝘁𝗲𝗱: First, get your gross revenue. That's the price at which you sell your products to Amazon. Second, add up all the costs for each product. That includes buying and making the product, packaging, marketing, etc. Third, add all the direct and indirect costs of selling to Amazon. ✅ A complete list may include: - Off-Invoice Discounts - On-Invoice Discounts - Trade Terms (DA%, AVS, Marketing, etc.) - Chargebacks, Shortages, Price Variances, … - COGS (manufacturing costs) - Freight - Storage - Pick & Pack Fees - Marketing Costs (Amazon Advertising) - OpEx (Payroll, Rent, Technology, …) Knowing your unit economics will let you understand where you make and lose money. And helps you identify where changes are needed most. Losing money on pick & pack fees? » Set up pallet ordering with Amazon. Losing money on chargebacks? » Focus your AVN on chargeback waivers. Don't let assumptions about your margin performance dilute your bottom line. 👉 Drill down to your unit economics instead. --- Are you tracking ASIN-level profitability? Let me know in the comments! #amazonvendor #amazonstrategy

I used to stare at financial statements for hours and still walk away with no clue what was really happening in the business. After analyzing 100+ companies as a fractional CFO, I've learned there are three critical lenses every CFO uses that completely change how you read the data. Most people look at a P&L and see revenue of $500K, expenses of $400K, and net income of $100K. They think that tells the whole story. But you know what a CFO sees? They ask three questions that unlock everything. Learn the top 3 financial analysis frameworks in my newest video 👇 📹 https://lnkd.in/dDQRJe9B ➡️ WHAT CHANGED: HORIZONTAL ANALYSIS This is where you compare performance across time periods, budgets, and benchmarks. Did that $500K in revenue grow 20% from last month? Or did it drop 15%? Are you comparing against your budget or last year's numbers? Suddenly that $500K means something completely different depending on the context. ➡️ HOW EFFICIENT: VERTICAL ANALYSIS This is all about margins, ratios, and unit economics that show you where the real opportunities are. What percentage of that revenue is going to cost of goods sold? What about marketing spend? Are you operating at 20% gross margins or 80%? Because that changes everything about your business model. And here's where it gets powerful...unit level economics. What happens with every single sale? Which products have the highest margins? Where can you optimize pricing? ➡️ WHY IT MATTERS: NON GAAP METRICS These are the KPIs that reveal what's actually driving your business. EBITDA, monthly recurring revenue, customer acquisition cost, churn rates, average order value. These metrics can be incredibly useful, but they require much more detailed data. Customer level data, product level data, subscription cohorts. === You know what's amazing about this framework? Once you see it in action, you'll never look at a P&L the same way again. You stop seeing just numbers and start seeing the story behind your business. Where the growth is coming from, where efficiency can be improved, and what metrics actually matter for your industry. Watch my latest video to see exactly how you can apply this in your work 👇 https://lnkd.in/dDQRJe9B You'll walk away analyzing any business like a seasoned CFO. What's been your biggest challenge with financial analysis? Let me know in the comments below 👇

£300,000 revenue. £60,000 profit. Sounds decent, right? That’s exactly what the headline P&L showed. Revenue: £300k Net Profit: £60k 20% margin. Most owners would take that and move on. But we split revenue streams from the start. Paid Ads. Web Builds. Consulting. Revenue. Direct team costs. Subcontractors. Overhead allocation. When we broke it down properly: Paid Ads → £55k profit Consulting → £25k profit Web Builds → £20k loss Total? Still £60,000. That’s the trap. The business looks healthy overall. But one service is: • Underpriced • Over-serviced • Soaking up team time • Quietly losing money And the profitable services are covering for it. At £300k turnover, that £20k loss is massive. That’s salary. That’s marketing budget. That’s buffer. Loss-making services don’t feel like losses. They feel busy. They feel productive. They make you think you’re growing. Until margins tighten and cashflow gets uncomfortable. This is why we split revenue streams from day one. Not when you’re “bigger.” Not when it gets complicated. From the start. Because one headline profit number tells you nothing about what’s actually working.

𝐀𝐧𝐚𝐥𝐲𝐳𝐢𝐧𝐠 𝐅𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥𝐬 𝐋𝐢𝐤𝐞 𝐈𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭 𝐁𝐚𝐧𝐤𝐞𝐫𝐬 1️⃣ Start with the Big Picture Understanding the broader context is essential. Industry Dynamics: What macroeconomic factors, competitive forces, and regulatory changes impact the company Business Model: How does the company make money? Is its revenue model scalable and sustainable Management's Narrative: Read annual reports, investor calls, and press releases. Do the financials align with the story management is telling A mismatch between the narrative and the numbers can be your first red flag. 2️⃣ Examine the Revenue in Detail Revenue quality is the foundation of any valuation. Ask yourself: Are revenue streams diversified, or is the company overly dependent on a few customers or products? Are there unusual spikes, seasonality, or growth patterns Check accounts receivable—are they growing faster than revenue This could signal aggressive revenue recognition. 3️⃣ Scrutinize Expenses for Insights Drill into cost structures and compare trends over time: Cost of Goods Sold (COGS): Are margins consistent, or do they show unexpected variability Operating Expenses: Is there a logical correlation between spending (e.g., marketing, R&D) and growth outcomes Discretionary Expenses: Watch for unusual spending patterns or inflated overheads, which may hide inefficiencies or fraud. Compare expense ratios to industry benchmarks to identify outliers. 4️⃣ Follow the Cash "Cash is king" isn't just a saying—it's a fundamental truth. Analyze the cash flow statement, focusing on operating cash flow. Does cash generation align with reported profits? If not, investigate why. Working Capital: Examine receivables, payables, and inventory turnover. High receivables or slow collections can strain liquidity. A company’s survival depends on cash, not profits, so inconsistencies here are critical. 5️⃣ Detect Red Flags in Accounting Practices Deep-dive into financial statement notes and management assumptions: Revenue Recognition Policies: Changes or overly aggressive assumptions can inflate top-line growth. Capitalization of Expenses: Are expenses being shifted to the balance sheet to boost short-term profitability Frequent “Non-Recurring” Charges: If restructuring costs, write-offs, or "one-time" adjustments recur year after year, take note. Off-Balance Sheet Items: Unrecorded liabilities or guarantees can inflate the company’s financial health. 6️⃣ Benchmark Against Peers Comparing the company to industry peers helps contextualize its performance. Look at: Margins: Are gross, operating, and net profit margins in line with the industry? Leverage: How does the debt-to-equity ratio compare Growth Rates: Is the company growing faster, slower, or on par with competitors Deviations can signal either unique strengths—or risks that need deeper investigation. LinkedIn LinkedIn Guide to Creating

Amazon just flipped the script on reimbursements 🧾 Used to be: if Amazon lost or broke your stock, they’d pay you based on your average sale price. Now? You’ll get back only your manufacturing cost. And if you don’t upload it, Amazon will guess low. This change has been live since March, but many brands are just now seeing the hit in their June P&Ls. Here’s what it actually looks like: 🛒 Retail price: €79 🏷️ Your sourcing cost: €28 💸 Old reimbursement: ~€70 ❌ New reimbursement: €28 📉 Margin loss: €42 per unit And this isn’t a niche problem. If 10% of your FBA stock gets lost or damaged before it’s sold, you could lose 3 to 5 points of margin overnight. 💡 Here’s what smart sellers are doing right now: 🔍 Audit Amazon’s estimates Export your cost data, sort by lowest % of retail, and flag the bad ones 📤 Upload real factory costs Use the sourcing cost template in Seller Central to upload your true COGS 🧾 Keep invoices on hand You’ll need them to dispute lowball reimbursements 📦 Upgrade packaging and prep The cheapest loss is the one that never happens 📊 Rebuild your cost model Assume you get back only COGS on pre-order loss 🛡️ Review insurance coverage Especially if you rely on FBA for high-value goods This isn’t just about compliance. It’s about protecting your margin before it disappears into Amazon’s guesswork. If you're still relying on the old system, you’re leaving money on the warehouse floor. Get your operations & finance team in now. And get your sourcing cost data under control. 📦 Because in 2025, Amazon’s warehouse mistakes are your problem now.

We found a new profit leak for many sellers: Amazon AWD is losing inventory, and sellers aren’t tracking it. New tariffs are coming, and Amazon is changing reimbursements to be based only on COGS. So, any process to boost profitability is a must-use nowadays. At GNO Partners, we work with over 100 Amazon sellers daily. We’re seeing more and more missing units from AWD shipments. If you're not monitoring this, you’re leaving thousands of profits on the table. How to Catch AWD Mistakes & Get Reimbursed: • AWD Inbound report: Compare expected vs. received units. • AWD Outbound: Track shipments from AWD to FBA. • Open cases for all missing units from both Inbound and Outbound reports. • Monthly Process: Execute this monthly as the reports include only 30 days of data. To tackle this, assign a VA from your team to be responsible for the process. Every month, he needs to: • Download the reports. • Track missing units received in AWD • Track missing units received in FBA from AWD. • Open cases and claim the value of the missing units. • Also recommended he’ll manually audit shipments beyond 30 days. It’s a simple process that can lead to tens of thousands of extra profits at the end of the year. Comment "Reimbursements" below, and I’ll send you the full step-by-step guide we use at GNO Partners. P.S. We have many more processes to increase your brand's profit at GNO Partners. DM me for more information.

Store Sales Analysis Dashboard🛒 Excited to share my latest data visualization project — a fully interactive Store Sales Dashboard built using Power BI! 🛒📊 This dashboard offers a comprehensive view of store performance across various categories, months, regions, and customer segments — designed for fast, data-driven decisions. 🧾 Key Highlights: ✔️ Total Sales & Profit KPIs ✔️ Monthly Sales Trends by Customer Segment ✔️ Sales Distribution by Region, State, and Category ✔️ Dynamic filters for Category, Payment Mode, Month, Year ✔️ Clean and intuitive user navigation buttons (Home & Monthly View) 💡 This project helped me improve: • Power BI Data Modeling • DAX for KPI calculations • Interactive visual storytelling • UI/UX dashboard design for business use 🛠️ Tools Used: Power BI | DAX | Data Visualization | Slicers | Chart Design link🔗:https://lnkd.in/dxYGBDhe #PowerBI #SalesDashboard #DataVisualization #BusinessIntelligence #DashboardDesign #RetailAnalytics #FreshersInData #DataAnalyticsJourney #StoreDashboard #DAX 

📌 Power BI Breakdown # 11: Shopify Analytics Shopify has become the standard for eCommerce businesses. Whether you’re running a DTC brand or scaling globally, chances are your store lives on Shopify. And that means one thing: a goldmine of data. Every product view, every checkout, every fulfilled order leaves a trail of insights. But here is the problem: that data usually stays locked inside Shopify’s own ecosystem. Yes, Shopify Analytics is handy for a quick glance. But let’s be honest, business users often get lost in those native reports. One team looks at Ads Manager, another pulls Shopify dashboards, Finance has its own numbers in Excel… and before you know it, nobody is looking at the same reality. That’s when data silos appear. Teams spend more time debating numbers than actually acting on them. So what’s the alternative? You bring the data together. Now imagine what happens when you combine Shopify data with your other platforms: ⤷ Ads (Meta, Google, TikTok) to connect spend with real sales. ⤷ CRM to track how customers move from first click to repeat order. ⤷ Finance to tie revenue and profitability back to budgets. You’re looking at the entire growth engine of your business. That’s the idea behind this 11th post in the Power BI Breakdown series: a practical use case of Power BI for eCommerce businesses And here’s where things get interesting: once you centralize all these streams into a data warehouse, you’re building a single source of truth. Then, when the CEO, the marketing lead, and the operations manager all log into Power BI and see the same trusted numbers, the conversations change. → You stop asking which number is right? → You start asking what should we do next? This Shopify demo dashboard I built is just one example. It doesn’t just show revenue. It pulls in sales, customers, marketing, operations, and product insights side by side. It ties Shopify’s data foundation with the bigger ecosystem. For the design itself, I took huge inspiration from Nicholas Lea-Trengrouse (especially for the navigation elements and main KPIs). Treating dashboards like web-app products makes adoption so much easier for business users. 🟢 Live Demo Here (Sample Data): https://lnkd.in/eVat6f_m

🚀 Excited to share my latest #PowerBI project E-Commerce Sales Dashboard, built using the dataset from FP20 Analytics Data Challenge This dashboard provides a high-level overview of sales, profit and quantity metrics, offering deep insights into: Category performance 🛍️ Market trends 🌍 customer segmentation. 👥 🔗 Check out the interactive dashboard here: https://lnkd.in/e_bemFeJ Few of the Key findings include: · Face Care leading in profit despite lower sales, Herbal Essences Bio ranking as the top-performing product, and seasonal trends impacting overall revenue. · Additionally, the data reveals challenges in the Asia-Pacific market with declining profits, along with a negative correlation between discounts and profit margins. 📉 A huge thank you to Anh Leimer & Hanna Nguyen for the mentorship and guidance throughout this journey 🙌 Would love to hear your thoughts! Feel free to share feedback or connect if you're working on similar projects. #PowerBI #DataAnalytics #ECommerce #DataVisualization #FP20Challenge #BusinessIntelligence #LearningJourney #Analytics #Dashboard #Ecommerce #StorytellingWithData #DashboardDesign #Dashboard #ECommerce #visualstorytelling