Xero Sync – from Trade Gecko or Shopify?

Our favourite tech stack for small eCommerce business right now is Xero | Trade Gecko | Shopify.  It is affordable, simple and relatively easy to set up.

Why would you need to use Trade Gecko if you have Shopify set up with Xero?  The main reason is to manage your inventory.  Trade Gecko will give you a perpetual inventory balance and also sync cost of sales over to your accounting system, such as Xero.

Even if Shopify is your only shopping channel, you may wish to sync from Trade Gecko to Xero, versus from Shopify to Xero.  Following are some pros and cons associated with each sync:

Shopify / Xero

  1. For under 30 orders a month, you can use a free add on called ‘Xero Integration by Bold’.  For over 30 orders, this is a paid add on where the price increases based on the number of orders you take a month.
  2. There are other paid add ons that you may wish to consider, including Shopify to Xero by A2X, and Carry The One.
  3. None of these integrations will sync over the associated cost of goods sold.
  4. Only the A2X add on will post over to Xero in batch, and enable a green match in Xero on your Shopify payments.  A2X will sync over other payment methods in batch as well but not net of the merchant fee. The other add ons push Shopify orders over in detail, which may overwhelm Xero if your business is taking more than 50 orders per day.

Trade Gecko / Xero

In this scenario, you connect Shopify to Trade Gecko and set up Trade Gecko to sync each invoice in detail.

  1.  There is no batch sync on offer by payment method.  This may be a deal breaker if your business is processing over 50 orders a day.
  2.  You can map each payment method to a different bank account if preferred.
  3.  This method is preferred if your business is omni channel – i.e. selling on Shopify, Amazon, eBay, etc… as all orders are synced from Trade Gecko.
  4.  The unsuccessful sync log to Xero is very easy to use and fix problems.
  5. There is a two way sync between Xero and Trade Gecko allowing you to receipt orders directly in Xero.

The accounting set up for an eCommerce business is very complicated and requires an accountant that specializes in this area.  Please do get in touch if you wish to have a chat about your eCommerce business.  We work with clients all over Australia and the World.