E-commerce inventory accounting that gives you a margin you can trust.
E-commerce inventory accounting tells you what every unit really cost, so the margin on your P&L is one you can plan your next order on. We build a landed cost for each unit, roll your stock forward every month, and book COGS only for what actually sold. It's included in the Growth and Scale plans, or from $99 a month as an add-on, with a named bookkeeper on your books.
Free books review · written quote before you start · works with your existing books
Inventory roll-forward: September
| Beginning inventory | 52,300.00 |
|---|---|
| Product purchases | 21,400.00 |
| Inbound freight | 2,140.40 |
| Import duty | 1,350.00 |
| Cost of goods sold | (23,190.40) |
| Ending inventory | 54,000.00 |
| Units on hand × unit cost | 54,000.00 ✓ |
| Difference | 0.00 · ✓ Tied out |
Also checked Sep
- Landed cost per SKU ✓
- Stock in transit ✓
- Warehouse and FBA stock ✓
- Posted to the ledger ✓
Of net sales, from units actually sold
ILLUSTRATIVE ROLL-FORWARD — DEMO STORE, NOT A CLIENT
You buy stock before you sell it.
You sell $50k to $1M a year online. You import or buy in bulk, your stock sits in more than one place, and you want to know what each unit really costs.
Your margin is only as good as your unit cost.
Stock is often the largest asset on a seller's balance sheet. Book it wrong and every margin on your P&L is wrong with it.
Stock gets booked as an expense
A bulk order lands as one big cost. One month looks like a loss, the next like a windfall, and neither is true.
Read the answer →Unit cost leaves out freight and duty
The supplier price is only part of the cost. Leave out freight and duty and every sale looks better than it is.
Read the answer →COGS becomes a plug figure
Without a beginning count, purchases and an ending count, COGS is whatever makes the books balance. That's a guess, not a number.
Read the answer →Reorders get planned on hunches
If you're unsure what's on hand, you can't be sure how much cash the next order needs.
See cash-flow forecasting →Margin by SKU depends on it
Knowing which products earn starts with a reliable cost for every unit.
See profit by SKU →What our e-commerce inventory accounting includes.
Each month your stock, unit costs and COGS are brought current and checked against your inventory reports, so the margin you read is the margin you made.
- Landed cost per unit, by purchase order MONTHLY
- Inventory roll-forward: beginning, purchases, COGS, ending MONTHLY
- Stock by location, including in transit MONTHLY
- COGS by channel MONTHLY
- Ending inventory tied to your stock report MONTHLY
- Year-end inventory and COGS schedule ANNUAL
Inventory closed with your books by day 15 of the following month.
Profit & Loss — September
| Amazon sales | 38,420.00 |
|---|---|
| Shopify sales | 21,760.00 |
| eBay sales | 4,310.00 |
| Net sales | 64,490.00 |
| Cost of goods sold | (23,190.40) |
| Marketplace fees | (9,874.15) |
| Gross profit | 31,425.45 |
SAMPLE · ILLUSTRATIVE FIGURES · NOT A CLIENT
Inventory accounting, priced before you start.
Inventory and COGS accounting is included in the Growth and Scale plans, and added to Starter for $99 a month. Start with a free books review, and your price is confirmed in writing before you commit.
| Service | Billed | Price |
|---|---|---|
| Inventory & COGS accounting | /month | $99 |
| Profit by SKU & channel | /month | $299 |
| Cash-flow & inventory planning | /month | $299 |
Catch-up bookkeeping
Never counted your stock, or months behind? We rebuild the missing months first, priced per month behind, so your first margin rests on counted stock. See catch-up →
Four steps to books you can trust.
Free books review
You send the access invitations. We look at where your books stand.
Quote in writing
Your plan and price, before you commit to anything.
Catch-up
Missing months brought current and reconciled.
Monthly close
Books closed every month, reports in your inbox.
[[FILL]]
[[FILL: name]]
E-commerce bookkeeper · [[FILL: credential, exactly as held]]. One named person keeps your stock and unit costs current every month, so you always know who to ask. Every close is reviewed before it reaches you.
We work in the tools you already use.
Your inventory stays on the balance sheet of your own QuickBooks Online or Xero account. The file is yours.
WORKS WITH
Product names belong to their owners.
Your tax preparer gets clean books, every year.
At year-end your tax preparer gets an inventory and COGS schedule that already ties to your books.
- Beginning and ending inventory ✓
- Purchases, freight and duty ✓
- Cost of goods sold by month ✓
Questions sellers ask about inventory and COGS.
How do I work out COGS for an online store?
The formula, worked through for a seller.
Read the answer → AnswerWhat is landed cost, and how do I work it out?
Freight, duty and fees, built into the cost of each unit.
Read the answer → AnswerIs inventory an asset or an expense?
Where stock belongs on your books, and why it matters.
Read the answer →Behind on your books? See catch-up bookkeeping →Get a free books review →
Sources
- IRS Publication 538, Accounting Periods and Methods: Inventories (Rev. January 2022) · fetched 2026-10-07
E-commerce inventory accounting questions
How much does inventory accounting cost?
It's included in the Growth and Scale plans. On Starter it's a $99-a-month add-on. Every price is published on our pricing page, and yours is confirmed in writing after your free books review.
What goes into the cost of each unit?
The supplier price plus the freight, duty and other charges it took to get the stock to you. IRS Publication 538 describes the cost of purchased merchandise as the invoice price minus discounts plus transportation or other charges incurred in acquiring the goods. Your tax preparer confirms the treatment for your return.
Does stock in transit or at a warehouse count?
Yes, once it's yours. IRS Publication 538 includes purchased merchandise once title has passed to you, even if it's in transit or you don't have physical possession. We track stock by location, so nothing drops off the balance sheet.
Which costing method do you use?
The method your business uses for its return, applied the same way every month. Publication 538 names specific identification, FIFO and LIFO. If you haven't chosen one, we set out the options for you and your tax preparer to decide.
I've never counted my stock. Can I still start?
Yes. We start from a count or your inventory system's report, rebuild unit costs from your purchase orders, then roll stock forward every month.
See where your books stand — free.
Get a written review of every channel: what's reconciled, what's missing, and the exact price to fix it. No card, no commitment.
Get my free books review