Neto is a Brisbane based e-commerce SAAS product that has most recently combined the shopping cart and perpetual inventory management solution into one platform.
Neto is a great choice for a Australian based business as it provides a full featured system with all sorts of plug and play functionality. It provides an auto sync to Xero with a number of options that are configurable. It is a complete solution for ecommerce, point of sale, inventory and fulfilment. For the price point and excellent customer service, it is an excellent choice for an ecommerce business.
Over the last two years, we have worked with many clients to assist with the set up of the Xero Neto sync. There are all sorts of complexity involved in setting up a property synchronized e-commerce system with Xero. Please read our blog on this here.
Both clients engaged us to assist with the sync between Neto and Xero. Ideally with a good sync between an e-commerce system and Xero, two things must be achieved:
- The split of GST must be brought across correctly. Many Neto clients are selling to domestic (Australia located) businesses, and also overseas. Generally speaking, no GST is charged to clients that are domiciled overseas, and it is important to track this correctly in your accounting system.
- Batched sync by payment method. Many of our Neto/Xero clients are accepting multiple payment methods such as Stripe, BrainTree, After Pay, Zip Pay, PayPal, and the list goes on and on. This is so we have a green match in Xero without any manual intervention.
- The e-commerce shopping cart can calculate fees, where payments are deposited net of fees and push over a net payment into Xero (tip – select payment methods that pay gross fees, and take a one-off merchant fee at the end of the month).
- The payment methods that are collected in foreign currency are synced over to Xero in the foreign currency.
Unfortunately the Neto/Xero sync is only achieving point 1. It is not possible to sync based on any of the other essential or desired methods at this point in time (January/2019).
In addition, with the Neto/Xero sync, you can choose only to batch invoices (i.e. one invoice per set frequency arrives in Xero) or sync over detailed invoices. Both choices have problems in our view. If you batch one invoice over, even if you also batch payments, it becomes a nightmare to match payments with real bank deposits. Particularly if some invoices are left unpaid in Neto, in anticipation of a direct deposit in future days, it is not possible to push just those invoices over in detail.
Pushing invoices over in detail also poses problems. The most obvious of which is many e-commerce providers can achieve individual sales invoices of 50-500 per day. Xero advises they have a soft limit of 1,000 transactions a month. This level of invoices being synced to Xero could potentially slow the Xero file down or worst case scenario render it unusable.
We have designed a lot of workarounds that we can show your business, and with a little bit of human muscle power we can still design a good Neto/Xero sync for your e-commerce business.
You can book a time to chat with our Neto / Xero expert here – or give us a call on 04 266 CLOUD.
The Team From CloudCounting