Overview of Yoco + Sage integration

Connect Yoco and Sage to start syncing your sales transactions and posting them to your accounting system.

• Sales sync
  • On a daily basis, the integration will sync a summary of your previous day’s sales data into Sage generating a journal enrtry
  • Capture all payment transactions including tips and payment fees.

The post Yoco + Sage Accounting setup guide appeared first on Amaka.

The integration, available free of charge, provides Etsy sellers with a powerful, seamless way to manage their ecommerce finances and keep their books up to date automatically.

For the millions of creative entrepreneurs on Etsy, this collaboration brings together Etsy’s vibrant marketplace and Xero’s trusted accounting ecosystem to make financial management simpler, faster, and accurate.

This partnership reflects the shared vision of Amaka and Xero to empower small business owners. By combining Amaka’s expertise in accounting integrations with Xero’s powerful small business platform, the new integration ensures Etsy sellers can stay focused on growing their creative businesses with complete confidence in their financial data.

A simpler way to manage Etsy sales and finances

The new integration automatically syncs Etsy sales, fees, taxes, and payouts directly into Xero, giving sellers an up-to-date view of their business performance and saving hours of manual data entry each week.

Key features include:

• Automatic daily syncs of orders, fees, and refunds from Etsy to Xero.
• Optimised reconciliation with bank deposits and payouts.
• Catch up on your books with historical sync.

Built in Partnership with Xero

Amaka was selected for this partnership due to its proven track record in delivering successful accounting integrations on a global scale.

“We are proud to partner with Xero to empower small business owners around the world,” said Pedram Afshar, CEO at Amaka. “This integration represents a shared commitment to making financial management effortless for creative entrepreneurs. This partnership clearly reflects Xero and Amaka’s shared commitment to helping SMBs worldwide work smarter and simplify their financial management.”

About Amaka

Amaka is a global leader in accounting integrations, helping businesses automate their accounting workflows through seamless connections with the world’s most popular accounting platforms. Trusted by global companies, Amaka has extensive experience in delivering high-quality, reliable integrations that save businesses time and reduce the risk of human error.

The post Amaka and Xero team up to simplify accounting for Etsy sellers appeared first on Amaka.

Overview of Etsy + Xero integration

Connect Etsy and Xero to start syncing your sales transactions and posting them to your accounting system.

• Sales sync
  • On a daily basis, the integration will sync a summary of your previous day’s Etsy sales data into Xero as a summarised bank transaction, or you can choose to sync each Etsy order as an individual Xero bank transaction (per-order sync).
  • Map transactions to your preferred accounts from the chart of accounts.
  • Capture sales information including seller fees, subscriptions, refunds, shipping charges, and more across transaction line items.
  • Deposit matching: a bank transfer transaction will be consistent with Etsy deposited amounts.

The post Etsy + Xero setup guide appeared first on Amaka.

Overview of Yoco + QuickBooks Online integration

Connect Yoco and QuickBooks Online to start syncing your sales transactions and posting them to your accounting system.

• Sales sync
  • On a daily basis, the integration will sync a summary of your previous day’s sales data from Yoco into QuickBooks Online, generating a summarised invoice. Or, opt to sync each Yoco order into an individual QuickBooks invoice.
  • Map transactions to your preferred accounts from the chart of accounts.
  • Capture all payment transactions including gift cards, tips, tax and Yoco fees.
  • Easily reconcile Yoco sales and payments in QuickBooks Online.

The post Yoco + QuickBooks setup guide appeared first on Amaka.

Overview of Yoco + Xero integration

Connect Yoco and Xero to start syncing your sales transactions and posting them to your accounting system.

• Sales sync
  • On a daily basis, the integration will sync a summary of your previous day’s sales data into Xero generating a summarised invoice
  • Map transactions to your preferred accounts from the chart of accounts.
  • Capture all payment transactions including tips and payment fees.
  • Easily match deposits and reconcile other payment methods into clearing accounts.

The post Yoco + Xero setup guide appeared first on Amaka.

Xero invoice

After activation, Xero invoices will be updated to include the payment surcharge after customers click the “Pay Now” button and proceed with their card payment through the Square Checkout.

For customers who are choosing to pay via other payment methods (e.g. Bank transfer) no payment surcharge transaction will be present on the Xero invoice.

Square Checkout

The payment surcharge will be added as a line item to the “Order Details” section.

Please note that the tax amount will be calculated to include the on-charge fee, which is taxable.

Paid Invoice

Once the payment is successfully submitted, the Square payment surcharge will be added as a line item to the Xero invoice, which will also be marked as paid as part of the normal payment integration flow.

The post Square payment surcharge appeared first on Amaka.

Amaka was selected for this partnership due to its proven track record in delivering successful accounting integrations on a global scale. Having worked with high-profile companies, Amaka has become an expert in creating seamless connections between payment systems and accounting platforms. With years of experience and a global footprint, Amaka’s team is well-equipped to meet the diverse needs of businesses in South Africa.

Yoco, known for its innovative payment solutions, provides businesses with the tools to accept card payments, manage cash flow, and gain valuable insights into their financials. By joining forces with Amaka, Yoco is ensuring that its clients can now enjoy automatic syncing of their payment data with their accounting software, making financial management easier and more efficient.

“We are thrilled to partner with Yoco to bring seamless accounting integrations to South African businesses”, said Amaka’s CEO – Pedram Afshar. “Our expertise in rolling out integrations worldwide, paired with Yoco’s commitment to empowering entrepreneurs in South Africa, makes this collaboration a perfect fit. With this partnership, businesses will no longer have to manually enter transaction data—saving time, reducing errors, and enabling them to focus on growth.”

Through this partnership, businesses using Yoco’s payment solutions will now benefit from automatic reconciliation between payment transactions and their accounting software. Whether they are using Xero, QuickBooks Online, or Sage Accounting, the integration will ensure that financial data flows smoothly, reducing the manual workload and giving business owners more time to focus on their operations.

“Our partnership with Amaka aligns perfectly with Yoco’s mission to simplify financial management for entrepreneurs. By automating accounting processes, we are empowering South African businesses to operate more efficiently and focus on what they do best, growing their business”, said Carl Wazen, co-founder of Yoco.

This partnership represents a significant step forward for South African businesses looking to streamline their financial operations and take full advantage of the benefits of cloud-based accounting solutions. With Amaka and Yoco working together, the future of accounting and payment integration in South Africa has never been brighter.

For more information on the integrations or to sign up for the service, stay tuned for further communications, as details will be shared once the integrations become available.

About Amaka

Amaka is a global leader in accounting integrations, helping businesses automate their accounting workflows through seamless connections with the world’s most popular accounting platforms. Trusted by global companies, Amaka has extensive experience in delivering high-quality, reliable integrations that save businesses time and reduce the risk of human error.

About Yoco

Yoco is a South African payment solutions provider empowering small businesses to accept card payments, track transactions, and manage their financial operations. With a focus on simplicity and accessibility, Yoco offers affordable, user-friendly tools to help businesses grow and succeed.

The post Amaka and Yoco team up to simplify accounting for businesses in South Africa appeared first on Amaka.

We’ll be going through a general forecast as well as specific trends. For example, the rise of social commerce, e-commerce pop ups and podcasts. Additionally, we’ll discuss how existing trends such as omnichannel experiences, B2B e-commerce, AI and customer experience are shifting.

Growth projections for global e-commerce in 2025

According to recent e-commerce statistics gathered by Shopify, global e-commerce sales is expected to grow from USD $6.09 trillion in 2024 to USD $6.56 trillion in 2025 (a growth of 7.8%). The current leaders in the market as of October 2024 are China, United States, Japan, United Kingdom and Germany.

According to EMARKETER, Gen Z is leading the rise in e-commerce sales. Where other generations are expected to have mostly stagnant growth, Gen Z numbers are expected to grow from 46 million last year to over 61 million in 2027 in the US alone. Plus, with more Gen Z entering the workforce in coming years, spending power will only increase.

Social commerce: Buy directly on social media with just a tap

Social media is becoming more than just a marketing channel and is increasingly facilitating shopping experiences. You’ll now find shoppable posts on platforms like Instagram, Facebook, YouTube, Pinterest and TikTok. There are even some integrated checkout systems to allow customers to complete a purchase without having to leave the platform.

Recent research on worldwide online purchases by Statista found that 16.6% of e-commerce purchases in 2024 were made through social media and is expected to grow to 17.1% in 2025. On top of that, 43% of consumers use social media to browse goods and services before buying. E-commerce businesses will need to prioritise social media as both an awareness tool and as a sales channel.

E-commerce pop-ups: The new digital and physical hybrid

Pop-up shops offer e-commerce businesses a great way to reach customers face-to-face without having to commit to a permanent brick-and-mortar store. Research on pop-up shops by CapitalOne Shopping suggests that they will generate up to $80 billion in annual revenue this year with projections indicating that this will exceed $95 billion in 2025.

Typically, pop-up stores are used to raise brand awareness, improve rapport or introduce a new product. Depending on what you sell, it can give customers the chance to try before they buy. Additionally, pop-up stores can be combined with an event or be an opportunity to experiment with different offline strategies.

On average, a pop-up shop will be active for 3 to 14 days and costs less than $5,000 to open for around 44% of businesses. Hence, the barrier to entry and level of risk can be quite low. On top of that, around 80% of retailers that have done a pop-up shop have considered it a success.

Podcasts on the rise: Audio is reshaping marketing

Podcasts are all the rage lately and that means it’s now becoming an essential marketing channel for e-commerce businesses looking to get ahead of trends. The latest consumer research by GWI shows that podcasts now beat radio in preferred audio content. It’s only beaten by music playlists and music top charts.

But how does this translate to advertising success? The same research shows that Gen Z in particular are discovering brands and products through podcasts over other channels. Comparing 2021 to 2024, there’s been an 8% increase in ads heard on podcasts. In contrast, TV has had a 4% decrease.

Fortunately, podcasts are still a relatively affordable option considering the reach. If your brand is looking to build awareness in 2025, getting placements in relevant podcasts can help to improve ROI on marketing spend.

Online and in-store becoming one blended experience

The concept of an omnichannel presence has been around for awhile in retail. However, the idea of giving customers a unified experience when shopping online and in-store has now evolved. There’s now a growing trend of online shoppers wanting more in-store experiences, and in-store shoppers wanting more online experiences.

In a recent retail report by Walmart, online shoppers are looking to get items immediately (48%), have the ability to touch items (47%) and preview or try before buying (41%). On the flip side, in-store shoppers are looking to skip checkout lines (45%), have 24/7 access (42%) and be able to easily see all items that are in stock (28%)

Therefore, there’s more pressure for retailers to create shopping experiences that have a mix of convenience, tangibility and immediacy. To stay ahead of the curve in 2025, it’s important to create more convenient access to goods, regardless of what channel customers choose.

B2B e-commerce: The new frontier of e-commerce sales

B2B e-commerce was once known to be slow and cumbersome compared to B2C. In 2025, B2B customers are now expecting to get the same fast checkouts and intuitive experiences that B2C customers have been getting for years. According to a report on the future of B2B by Gartner, “To remain competitive, agility and seamless experiences will be essential.”

Shopify, who have traditionally been focused on B2C, have seen major growth in B2B and will be putting a greater emphasis on it. Harley Finkelstein, the President at Shopify, said, “In B2B, we continue to set new records for monthly GMV highs, with September marking our largest single month ever.

“We are positioning ourselves to keep breaking these records, especially with new enhancements … including Shopify Flow automation templates that streamline B2B workflows and improvements to tax collection and conversion tracking.”

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AI again? The buzzword we can’t ignore

We can’t do a trends article without mentioning AI at least briefly. It seems as though 2024 was the year of AI. It’s expected that AI’s widespread presence will only get wider in 2025. E-commerce businesses will be forced to strike a difficult balance between using generative AI and a personal touch for areas such as product descriptions, emails, SEO, frontend experiences, customer service, and more.

Customer experience: Always evolving, always essential

The focus on customer experience will continue to evolve in the coming year. Here a few areas of interest that are worth considering:

• Streamlined or one-click checkouts
• Fast, low-friction, mobile-first experiences
• Augmented reality (AR) and virtual reality (VR)
• Range or payment options available
• Hyper-personalization with data and AI
• Sites optimized for voice search

Key takeaways on e-commerce trends 2025

Ultimately, businesses that embrace these rising e-commerce trends in 2025 will be positioned for success. Social commerce, pop-ups and podcasts are now channels that cutting-edge brands are taking advantage of. On top of that, with omnichannel experiences, B2B, AI and customer experiences constantly evolving, it’s more important than ever that e-commerce businesses stay educated.

The post E-commerce trends 2025: Growth projections, forecast and statistics appeared first on Amaka.

In this article, we’ll take you through the WooCommerce features that make it easy to run a B2B e-commerce store and a step-by-step walkthrough of how to set your business up. After that, we’ll guide you through how to choose the right tools to use, including free tools, and finally, how to optimize your store. 

Essential features of a B2B e-commerce WooCommerce store

WooCommerce offers a range of features designed to meet the demands of a B2B or wholesale e-commerce store. It’s built on WordPress and open-source, meaning it’s easy to adapt the platform to accommodate various needs. There’s an extensive range of plugins that allow you to have custom user roles, private product catalogs, bulk pricing and more.

On top of B2B-specific plugins, you’ll be able to find a range of other options that help you to run all areas of your business. For example, you’ll find pricing configuration tools, accounting automation, marketing tools, checkout customization plugins and more that can all be integrated directly into WooCommerce.

Initial steps to setting up your WooCommerce store

Before we dive into the steps specific to B2B, let’s do a quick overview of the initial setup for your WooCommerce store.

1. Install WordPress and WooCommerce: You’ll need to choose a hosting provider for your domain and then install WordPress and WooCommerce. WooCommerce is a plugin that runs within the WordPress ecosystem.
2. Choose and install a theme: Choose from an existing theme or choose to get a custom website design.
3. Set up essential pages: WooCommerce automatically generates pages such as the shop, cart, checkout, and account pages. Customize these to match your brand experience. Then, add pages that are specific to your business.
4. Configure your general settings: Set up your general settings, taxes, currency and shipping methods.

Step-by-step guide to building a B2B experience on WooCommerce

Now that we have the bare bones ready to go, you can focus on building the B2B-specific parts of your WooCommerce store. There are a few key steps you need to take to customize customer registration, pricing, and user experiences for business clients.

Basic WooCommerce B2B plugins

To start, if you only need basic customizations for user roles and pricing rules, you can get away with using a couple simple plugins. These are often cheaper and easier to set up. However, they lack more advanced features such as the ability to customize catalog visibility, payment options, checkout and order forms.

Customer registration and user roles

With B2B, customers typically need to be able to log in to your site to view exclusive product catalogs, special pricing, bulk order capabilities, different payment methods, or more complex shipping arrangements that wouldn’t be relevant to B2C shoppers. These may differ between each B2B customer as well depending on your relationships.

Hence, when creating registration forms for B2B customers, you need to ensure you’re collecting the relevant information. For example, you’ll need checkboxes or radio buttons to gather details about business type, tax details, and preferred payment terms. Plugins such as Custom Fields for WooCommerce ($6.59/month) can help with adding these to relevant forms.

To set up the unique user roles in WooCommerce, you can use the User Roles Editor ($4.09/month) plugin. This allows you to give each customer a tailored experience by letting you assign roles and manage permissions. For instance, a user role called VIP Customers may get access to better prices. Make sure you turn on approval permissions so that you can vet applications before granting access to your site.

Configure pricing rules

The next order of business is setting up pricing rules for each defined user. If you have a limited set of pricing requirements, a plugin such as WooCommerce Wholesale Prices ($8.25/month) offers all the basic functionality you need. You can set fixed wholesale pricing or apply a percentage discount for specific users.

However, if you require a more versatile tool, the Dynamic Pricing & Discounts ($8.25/month) plugin might be more suitable. For example, B2B businesses often offer tiered pricing based on the quantity purchased previously or the type of relationship. The plugin allows you to create a wide variety of pricing and discount rules for both B2B and B2C customers. For example:

• Bulk discounts, tiered pricing and quantity-based discounts,
• Complex discount structures such as BOGO, cart-level discounts and seasonal sales,
• Minimum purchase limits to qualify for discounts, and maximum purchase limits to prevent over-ordering.

Comprehensive B2B plugins for WooCommerce

If your business requires more complex customisations, you’ll need to use a more comprehensive B2B plugin. Though these are more expensive and require additional steps to set up, they’ll allow you to control who can see specific products, payment methods, checkout options and order forms.

Examples include B2B & Wholesale Suite ($12.42/month) which is better for SMBs and B2BKing ($16.63/month) which is suited to larger businesses. To use these, you’ll need to set up customer registration and user roles, and configure pricing rules as explained in the previous section. Then, you’ll need to follow up the steps below.

Catalog visibility and product restrictions

Once you’ve chosen a comprehensive B2B plugin and set up your user roles and pricing rules, the next step is to control which users can see specific products. Set restrictions so that only certain user roles can access certain products or categories.

For example, say you run a business called PackPro that sells packaging and warehouse materials, you may have a custom user role for customers that regularly make high-volume orders called VIP Customers. These customers may have access to a wider range of bulk materials.

Payment options customization

The next customization you can make with B2B plugins for WooCommerce is with payment methods. You can enable flexible options such as purchase orders, invoicing, and credit terms to meet the needs of B2B customers who typically prefer delayed payments instead of immediate methods like credit card payments.

Additionally, you can enable or restrict certain methods based on user roles. For instance, your business PackPro, may only offer specific credit terms to VIP Customers. Where normal customers might have 30 days to pay their invoice, those in the VIP Customers user role may get 45 or 60. 

Checkout customization

Depending on the nature of your business, you’ll need to customize the billing and shipping fields in your checkout process. The B2B & Wholesale Suite plugin allows you to add VAT numbers, company names, and purchase order details to the checkout. On the other hand, B2BKing allows you to add company details and tax IDs.

Fortunately, if your plugin of choice doesn’t allow you to add the fields you need, the Checkout Field Editor ($4.09/month) plugin can be used in conjunction with both B2B & Wholesale Suite and B2BKing. Checkout Field Editor allows you to add, remove or rearrange your checkout fields.

Order forms and quote requests

The final step in setting up your B2B plugin involves adding wholesale order forms and enabling quote requests. Wholesale order forms allow customers to add multiple items to their cart at once to simplify bulk orders. Next, you can add a ‘Request Quote’ button to product pages or within the cart to give customers the flexibility to negotiate or inquire about discounts for bulk quantities.

Choosing plugins for business’s internal processes

Running a B2B business on WooCommerce means that many of your internal processes can be streamlined with the right integrations. We’ll go through a few key examples for managing your accounting, inventory, email marketing and CRM.

• Accounting: Automatically sync sales and payments from WooCommerce to your accounting software with Amaka’s integrations (free plan available or starting at $13/month for premium features) for WooCommerce to Xero, WooCommerce to QuickBooks Online or WooCommerce to MYOB.
• Inventory: Use a plugin such as ATUM Inventory Management (free plan available) for stock level monitoring, tracking, and order management. Suitable for managing wholesale stock across multiple locations.
• Email marketing: Omnisend for WooCommerce (free plan available or starting at $16/month for premium features) is a popular plugin that can help B2B businesses drive repeat business and nurture leads through automated email marketing.
• CRM: Hubspot (free plan available or starting at $18/month for premium features) syncs with WooCommerce and helps with managing client relationships and tracking customer journeys.

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How to optimize your store for a smooth B2B customer experience

Last but not least, there are a few different areas of your store that are important to optimize to ensure your B2B customers have a smooth experience. Though these aren’t necessarily essential, they’ll definitely help to maintain customer satisfaction and to set your site apart from competitors.

• Site performance and speed: Make sure to optimize your site’s performance and speed with caching solutions, fast-loading images, and a reliable hosting plan.
• Mobile-friendly experience: Creating a responsive site is crucial with B2B customers increasingly managing orders on mobile. Ensure order-forms are mobile-friendly, layouts are intuitive, and call-to-action buttons are clear.
• Advanced search and filtering: As your product catalog grows, B2B buyers will need to be able to locate products quickly. Plugins such as Ajax Search ($4.09/month) can add the ability to filter by SKU, product attributes or category.
• Reordering functionality: Allow customers to reorder based on their order history to simplify repeat purchases.
• Automated email notifications: Keep customers updated by sending automated emails at each step of the ordering process—order confirmation, shipping updates, and delivery status.

Key takeaways on starting a B2B WooCommerce store in 2025

In conclusion, you can take advantage of the plugins offered to WooCommerce stores to set up a customized and flexible B2B business. By choosing the right tools, you can create the ultimate experience for your customers and streamline internal processes to save your team more time.

The post Foolproof guide to starting a B2B business on WooCommerce appeared first on Amaka.

What is net income and why is it important?

Net income, otherwise known as net profit or net earnings, is the total amount of money your business retains after you’ve deducted all expenses from your revenue. Typically, you would find net income on your income statements, however, there are workarounds to figure it out from your balance sheet.

Net income is crucial for assessing business performance because it provides the most complete image of your finances. You can refer to your net income to make key decisions such as whether to reinvest profits as retained earnings for growth, or implement cost-cutting measures when profitability declines. This data can help you set realistic goals and allocate resources effectively.

Furthermore, net income plays a vital role for businesses looking to get external investment. When evaluating your ability to generate future returns, investors tend to look at your net income as well as other metrics that net income directly impacts such as the price-to-earnings (P/E) ratio.

How does net income differ from gross income and operating income?

Net income differs from gross income and operating income. Gross income is the profitability after direct production costs or the cost of goods sold are deducted from revenue.

Gross Income = Revenue − COGS

Operating income is the profitability from core business operations but excludes interest and taxes.

Operating Income = Gross Income − Operating Expenses

Finally, net income is the profitability after all expenses, taxes and interest are subtracted. 

Net Income = Operating Income − Taxes − Interest Expenses + Other Income

Key components of a balance sheet

The balance sheet gives you a snapshot of your company’s financial position at a single point of time. It consists of three key components: assets, liabilities and equity.

• Assets: Resources you own that provide future benefits. E.g. Cash, accounts receivable, inventory, equipment and property.
• Liabilities: Obligations you owe to external parties. E.g. Accounts payable, loans, wages owed and bonds.
• Owner’s Equity: Assets minus liabilities. The amount the owner/s can claim in a business. E.g. Retained earnings, money invested by the owner and stock.

As you can see, net income isn’t shown on the balance sheet. Instead, it’s shown on the income statement which details your financial position over a period of time rather than at a single point. The income statement details revenues, expenses and net income. Changes in net income will influence asset and liability figures on the balance sheet. Similarly, net income will influence retained earnings.

How to determine net income from a balance sheet

Even though net income isn’t directly found on the balance sheet, it does reflect the impact of net income indirectly through retained earnings. The balance sheet shows the cumulative effect of net income over time, as each period’s net income flows into retained earnings and impacts the company’s equity.

To estimate net income using the balance sheet, follow these steps:

1. Find retained earnings for the current period and the previous period: Identify the ‘Retained Earnings’ in the equity section of your current and prior balance sheet.
2. Calculate the change in retained earnings: Subtract the previous period’s retained earnings from the current period’s. This will reflect the retained profit or loss over the period.
3. Identify any dividends paid: Check to see if any dividends were distributed during the period. Find this in financial statements or company disclosures.
4. Calculate net income: Add dividends paid to the change in retained earnings to estimate net income.

Net Income = Current Retained Earnings − Previous Retained Earnings + Dividends Paid

OR

Net Income = Change in Retained Earnings + Dividends Paid

Walkthrough with an example e-commerce business

For example, if you wanted to find your net income over the past year for your e-commerce business, Shop Haven, you would first identify retained earnings from the end of Year 1 and end of Year 2.

Let’s say these were $17,000 and $28,000 respectively. The change in retained earnings would be $11,000.

Then, suppose Shop Haven paid $2,000 in dividends to shareholders during Year 2, we would need to add this back to find the total net income for the year.

Therefore, to get an estimate of your net income based on figures you can find on your balance sheet, you would add $2,000 to $11,000, totalling $13,000.

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Limitations of using the balance sheet to find net income

Though there may be situations where only the balance sheet is available, it’s important to note that there are many limitations with determining net income without your income statement. Here are some of the key reasons why using the balance sheet may limit your ability to accurately understand profitability.

• Absence of income data: The balance sheet doesn’t provide an accurate picture of revenue or expenses, both of which are essential for accurately calculating net income.
• Missing expense details: Important details, like depreciation and tax expenses, which impact net income, are not fully visible on the balance sheet.
• One-time items: Extraordinary gains or losses (such as asset sales) that can impact net income aren’t obvious on the balance sheet.
• Inventory and COGS: Inventory levels affect the cost of goods sold (COGS), a crucial component of net income. However, only inventory values (not COGS details) appear on the balance sheet, complicating income estimation.

Using accounting software to track and calculate net income

Accurately tracking and calculating your net income becomes easy when you implement a cloud-based accounting software in your business. Tools such as QuickBooks Online, Xero, Sage or MYOB can streamline your financial management and help to ensure your records are precise.

These software solutions can generate income statements with the click of the button, pulling data from various accounts such as sales, expenses and retained earnings. You can easily review trends in net income over time by using reporting features.

To make sure that the data used to calculate net income is accurate, you can use a variety of automation tools. These reduce the risk of human error and save you from having to do manual data entry. For example, you can use an e-commerce or POS system accounting integration to automatically sync sales data to your accounting system.

Amaka’s accounting integrations are available on a completely free plan. If you have a Shopify store for instance, it will sync transactions to your accounting software either on a daily basis or on a per order basis. Then, it will automatically match these transactions to your bank feed to make the reconciliation process lightning-fast.

Schedule a walkthrough of a relevant integration below with one of our team members to see how much time you could save.

Strategies to improve your net income

Adopting strategies to improve your net income is essential for the sustainability and growth of your business. Focusing on revenue growth, operational efficiency and tax optimization can help to enhance profitability and build a solid financial foundation.

Your business can increase revenue through a variety of methods. For example, you can explore new market opportunities, expand product lines and boost your marketing efforts to attract more customers. Separately, you can look to implement different pricing strategies. However, be careful to strike a balance between increasing revenue and maintaining sales volume.

On the flip side, streamlining processes, reducing waste and leveraging technology can help to lower your costs. Review your workflows on a regular basis to identify inefficiencies and opportunities for optimization. Additionally, seek opportunities to renegotiate contracts with your suppliers, switch to more cost-effective materials and automate repetitive tasks.

Last but not least, a commonly overlooked part of improving your net income is optimizing your taxes. We always recommend working with a tax professional to help you understand different tax planning strategies and how to maximize deductions.

Key takeaways on determining net income

Ultimately, while net income can be found directly on the income statement, it can also be estimated using the balance sheet. However, it’s crucial to recognize the limitations of relying solely on the balance sheet since having an accurate understanding of net income is so crucial to business decisions. Being able to precisely track your net income and implementing strategies to improve it is crucial to your business’s long-term success.

The post How to determine net income from a balance sheet: Formula and examples appeared first on Amaka.