Selling Merchandise / Branded Accessories

luke_m_m

Here’s an interesting one for you all…

I have a small design business, typically we do design and video work for our clients.
This let’s call this 99% of our revenue (for perspective)

This year, I’ve had some printed and embroidered items produced to promote the business - tee shirts, hoodies, caps etc. They’re not boring, quite fun in fact - and many others asked if they can also buy them.
Let’s call this 1% of our revenue…

I discovered that the company I used for printing integrates into Etsy, so quickly setup an Etsy shop and have shared the shopfont with clients, partners, staff, family, friends - giving anyone the opportunity to purchase some of our branded swag. It’s not hugely profit making - but there are payments out (for garments and printing) and payments in relating to shopfront sales.

I automatically pay the printing company for the print and delivery services on an ad-hok basis as the account credit runs low, they raise an invoice and and automatically bill my account. Simple to reconsile in Crunch.
Etsy however pay me monthly any sale values, less their Shopfront fees.

Now, I don’t invoice Etsy for these fees - infact predicting accurately what these payouts will be, seems to be hit and miss!

My question is..
How do I reconsile these shop front payments from Etsy into my business account?
Should I be raising a ‘sudo’ invoice to Etsy on a monthly basis, so I have something to reconsile against in Crunch?
Or, is there another way to log this as if it were a Point of Sale style payment for over the counter goods?

Katie

Hi Luke_m_m,

If you’re selling online, the invoice in your Crunch account is only there for bookkeeping purposes as a way of tracking your income. This means you can simply raise one invoice for your total sales that month.

Regarding the Etsy fee, this is easy to account for with our ‘+ Add Fee’ tool. Check out our article ‘How to record fees deducted’.

Raise your invoice for the total value of your sales, then use the ‘Add Fee’ tool to account for any money that Etsy deducted.

Hope this helps!

Katie

luke_m_m

Katie Thanks Katie - I’m not VAT registered and I read in another post that I might not list the fees - just simple raise an invoice for the amount paid monthly?

I just want to check.

Thanks, Luke

Katie

Hi Luke,

Some people like to raise the invoice before the money reaches their bank account, so the deduction tool is perfect to account for any shortfall between the invoice amount and payment. But, if you don’t mind waiting, you can just wait until the money hits your bank account and raise an invoice to match what you receive.

Either option is fine in this scenario.

Thanks,
Katie

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