To grow an eCommerce business, we need to maintain accurate accounting reports. Based on revenue & expenses, these 5 financial reports should ensure we are on track. I have compiled this list which will give a 360-degree view of your business.
1. Cost of Goods Sold:Beginning Inventory Value (Beginning of year) + Inventory added through the year – Ending Inventory Value (End of Year) = COGS 2. Sales by Product: A best seller list of products in your store. Which are the performing products - are there any underperforming products 3. Sales Tax Liability Report: Sales tax you’ve collected over the selected duration and what you currently owe to agencies 4. Income Statement: The profit or loss for a given time period. 5. Balance Sheet: Actual value/worth of your business. It lists down your Assets - Liabilities = Equity.