Shopify to QuickBooks Online integration : Which app should you use?
Are you an e-commerce seller who relies on both Shopify and QuickBooks Online for your business operations? If so, you’ve probably encountered a variety of integration applications designed to connect Shopify with QuickBooks Online. But did you know that not all Shopify to QuickBooks Online integrations are the same? In fact, choosing the wrong integration can lead to big messes in your books. So before you dive in head first, it’s essential to choose the right integration app that will save you time and simplify your Shopify bookkeeping. Keep reading or watch the video linked below for some expert guidance for your Shopify to QuickBooks Online integration : Which app should you use?
Individual transactions
There are two types of Shopify to QuickBooks Online integration apps. The first approach is to integrate individual transactions into QuickBooks, such as sales receipts and invoices for every sale made. Most integration apps use this approach, but there's a problem. Let's say that you're making hundreds of sales a month or even hundreds of sales a day. You don't want all those individual transactions in your QuickBooks. It can lead to cluttered books, and it will slow down the performance of your QuickBooks file.
Another issue with this approach is that it's not easy to match individual sales transactions with the total amounts deposited by Shopify or your payment processor. It becomes very time-consuming and impractical. As a result, we don't recommend using apps that bring over individual transactions into your QuickBooks.
Apps that we recommend staying away from are QuickBooks Sync by Bold, QuickBooks Online, and QuickBooks Online Global. There are many other apps that sync individual transactions to QuickBooks, but be careful when choosing those apps.
Summarized transactions
The alternative approach is to use integration apps that send summarized transactions to QuickBooks Online. These apps will consolidate your sales, refunds, returns, shipping income, sales tax collected, and payouts by payment gateway. They then send these summarized transactions to QuickBooks on a daily, weekly, or monthly basis.
This approach offers two significant advantages:
Your books won't be cluttered with hundreds of individual transactions.
You can easily reconcile your sales transactions to the net amounts deposited in your bank account by Shopify and other payment processors.
Which app should you use?
You may have guessed that a summarized transactions approach is our preferred method for syncing Shopify transactions to QuickBooks Online. Our preferred app that we use here at Mavency for integrating Shopify with QuickBooks is A2X. We’ll share a special A2X discount code with you in the closing and resources section below.
There are also other apps that will give you the ability to send either detailed transactions or summarized transactions to QuickBooks. Some of these apps include Synder, Dext, and Webgility. Regardless of what you choose, make sure that you choose apps that send over summarized transactions to QuickBooks Online. Also, make sure that they have a way to reconcile your payment processor deposits.
Closing and Resources
So, when it comes to choosing a Shopify to QuickBooks Online integration - which app should you use? Now that you understand the two types of integration apps and how they work, we suggest that you make your decision wisely to optimize your e-commerce operations. We recommend an integration app that brings summarized transactions into your QuickBooks, such as A2X. Need some more expert guidance? If you are ready to work with a trusted and reliable Shopify bookkeeping team, you can use this link to learn more about Mavency to see if we are a good fit for working together. For some additional support for your DIY Shopify bookkeeping, check out the free and paid resources linked below:
5 Minute Bookkeeping Facebook community - Join to connect with other Shopify sellers and professional bookkeepers online
A2X - Sign up to use A2X for your Shopify to QuickBooks Online integration and receive 20% off your first 6 months by using our discount code: A2XMAVENCY
We hope to connect with you soon!