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Commodore64
August 22, 2019
Question

Recording dropship sales and afterpay settlements

  • August 22, 2019
  • 1 reply
  • 0 views

I don't need to track inventory, so I'm hoping our approach will be simple.  Our customers pay via Afterpay, afterpay deposit a daily lump sum settlement (less their fees) usually 24-48hrs after the sale.  When we receive an order we pay our supplier immediately via credit card.

 

I'm hoping I can simply record what our supplier charged us for an order (total of stock items, dropship fees identified somewhere, goods tax) entered in daily, and for simplicity at end of month enter the full afterpay settlement totals for the month.

 

Would this work?

1 reply

Bonny_
Bonny_
August 22, 2019

Hi Commodore64,

 

The following steps assume that you have connected your business bank account to QuickBooks Online. Note that this is just a recommendation and I would recommend you to contact your accountant to ensure that this is accounting best practice.

 

You can record your supplier purchases by creating a bill for what your supplier has charged you. Then, once you have received your order, you can match the bill payment with that bill to mark off that you have paid for the order. 

 

If you are on QuickBooks Online Simple Start (which means you don't have the bills feature), simply create an expense to pay off the order once you receive it, and then match that expense to the expense from your bank account.

 

With regards to the Afterpay settlement amounts, you can create sales receipts or invoices to represent the sale to the customer, and partially match the Afterpay lump sum amounts to those sales receipts or invoices. To account for the fees, you can use the Resolve the Difference feature when using the Find Match feature in Banking.

 

Hope this helps!

 

Bonny

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