Yes, you can integrate your Shopify store with Xero. If you do this, you will have access to seamless accounting. And it is also automated. Once you have done this, you will be able to increase your efficiency, create invoices, calculate your taxes, and also export summaries of your sales.
But how do you do this?
Today, I will show you how you can integrate these two software programs. I will also share some apps from Xero that you can integrate with Shopify to help you manage your business more efficiently and effectively.
How to integrate Xero with Shopify
The first thing that you need to do is to sign up for an A2X account. A2X is a company with an app that you can use to integrate Xero with Shopify. If you already have one, you have to sign in. If you do not have one yet, you have to sign-up, and then choose A2X for Shopify, like what is shown below.
You can sign in using your Google account, Intuit account, or continue signing up with Xero. If you do not have an account yet, click on “Continue with New Account.” If not, choose “Continue to Existing Account.”
After the sign-up process, the system will prompt you to once again click on “Continue to Your New Account.” From here, you will have to select “Continue to Shopify.”
From here, the system will ask you to enter your Shopify store’s name. This is the Shopify log-in that you use. Again, this is your Shopify store name, not your email address.
The next step is to ensure that you have installed the A2X app in your Shopify admin. From there, you have to authorize this app. If you have not installed it yet, you have to install it and then authorize the app. Once the two are integrated, you have to move forward and then choose Connect to Xero as shown below:
If you already have a Xero account that is tied up with a company, you have the option to connect that, or you can also choose to connect a new company.
If you chose the latter, you have to sign in to your Xero account. If you do not have a Xero account yet, then you have to create one first because the system will ask you to log in to it.
Once you have done this, the system will ask you to choose which company or organization must be tied or integrated with your Shopify store. Finally, just click on the blue button that says “Allow Access.”
And that is it. Both are connected now, and you can enjoy all the benefits that Xero has to offer.
What apps can you connect with Xero and Shopify?
Many people seem to be confused with how Xero works. To be clear, there is no direct way to connect Xero with Shopify. You have to go through third-party apps that will reconcile both your Shopify and Xero accounts.
Here are the apps that you can use.
We have mentioned this earlier. A2X is automation software that works not only for Shopify but as well as Amazon. With A2x, you will have full visibility of the financial performance of your Shopify store. From there, you will have a clear view of your sales, expenses, taxes, and more.
A2X is an application that is used for accounting. Apart from Shopify and Amazon, you can also use it on eBay and Walmart online stores.
The second app where you can bridge Xero with Shopify is Bold Commerce. What it does is automatically sync your Shopify orders and details with your Xero account. The information that gets transferred includes sales, taxes, and even discounts that you offered. All these information details are exported to your Xero account, giving you the ability to track your e-commerce business performance.
The third app that you can install in your Shopify admin that can help you integrate Xero is Parex. With Parex Bridge, you can do the following things:
- Get automated daily sync of your Shopify sales with your Xero account; this includes customer data, products, orders, taxes, and more.
- Do order sync; if you have prepaid orders or any kind of order that will be paid later, the system will record it for you. you will not lose money because you forgot to list down this prepaid order, and you will not forget to ship it to your consumer. All cancellations will also be accounted for.
- You can create individual customer data in Xero for your Shopify customers. With this, all customer information such as new orders will be entered into your Xero account.
So far, these are the only three apps with which you can integrate your Shopify and Xero account together. You can use any of them. At the end of the day, what really matters is that you convert your Shopify data to Xero. This will help you manage your accounting processes better.
Does it make sense to integrate Xero with Shopify? For medium-sized and large businesses, yes, it does make sense. If you rely on manual work, chances are you will not have a bad level of accuracy in your accounting work.
We all know that accounting is a problem. If your business is small and you are selling only a few items in a month, then accounting is something you can do manually. But if you are already processing hundreds or thousands of orders, you have to seriously consider automating your accounting process.
There are three main apps that you can use to be able to install Xero with your Shopify store. You need to have an account with any of these three apps before you can start with the integration. Also, you need to install them first in your Shopify store. This way, these systems will recognize your account and map your Xero account with your Shopify store.