This is a topic that is very close to my heart and I am sharing this everywhere I go. A couple of years into my career as a chartered accountant I started to wonder if I was still enjoying working in the finance industry. I was busy with so many routine, tedious tasks that it felt like I was not growing and it did not feel like I was making a difference in other people’s lives. I was so consumed with day-to-day accounting tasks that I did not have time to monitor the financial health of businesses I was taking care of, or to provide valuable feedback to business owners.

All of this made me question my career choice. In other industries I could see innovation and people who were fulfilled by their work, and I remember thinking that there must be a way to make accounting enjoyable and fulfilling.

CLOUD ACCOUNTING DISRUPTS THE FINANCE INDUSTRY

Cloud accounting is a term that did not exist in my vocabulary a couple of years ago, but it completely changed my life and my thinking. Learning this term saw the beginning of an incredible journey for me where I went back to enjoying finance work again.

I stumbled upon cloud accounting while reading the Entrepreneur magazine and saw an advert for Xero accounting software . The tag line was “Real-time accounting”. It caught my eye immediately; I have never seen “real-time” and “accounting” in the same sentence. At the time, I had been working in the finance industry for over ten years. What I had experienced was that we as accountants were usually playing catch-up. In general, we were processing financial and business information that had happened a few months or even a few years ago. The idea of “real-time accounting” seemed unreal to me!

I knew that cloud accounting would cause disruption in the accounting and finance industry, probably in the same way that Uber disrupted the public transport sector and Airbnb disrupted the hospitality industry.

WHY CLOUD ACCOUNTING IS SO ENJOYABLE

After reading the Xero advert in the Entrepreneur magazine, I decided to propose this new technology at the company where I was working at the time. We switched from a desktop accounting software to Xero. The switch was easier than I thought. Suddenly I had access to a variety of amazing features that I never knew existed. A whole new exciting accounting world opened up for me. I could write an entire book about how this change improved my life but to give you a glimpse of what these features mean, I will only share a few of them. Just a disclaimer: I am going to talk about automation – a lot.

▪︎ WAY BETTER ACCOUNTING WORKFLOW

Firstly, let’s talk about aesthetics. Xero has been designed specifically for the web so work screens are straightforward and user-friendly. The platform is also great to look at and easy on the eye. This may not seem to be that important, but when you spend hours staring at a screen you want to be interacting with the best-looking platform possible.

Not only is the design well thought out, but the logical flow of transactions happens much more efficiently than I have ever seen before. There is no more batch capturing, but rather a transaction flow. The cloud accounting software links directly with your bank. It feeds transactions automatically to the software, matching automatically with source transactions, for example, matching the supplier transaction with supplier payment. All you have to do is click OK.

▪︎  GOING PAPERLESS

Xero’s platform allows for every transaction to have a source document digitally attached to the transaction. There is drill-down functionality available from the general ledger, and you can click right through to the supplier invoice. It makes any query and audit way easier than before. No more looking for source documents in files and no more worries that files or paperwork might get lost. All of this is then saved securely on the cloud.

Since the application is web-based and all the information is on the cloud, it enables me to access this from anywhere I have an internet connection.

 

It means that I have the freedom to work from anywhere and check up using my mobile phone. How incredible is this! I am not bound to a desk anymore. 

 

▪︎ AUTOMATION IS THE NAME OF THE GAME

I have mentioned the automatic bank feeds already, but this is only the beginning of automation in Xero. There is an automatic link to XE.com , so multi-currency transactions are converted automatically to your reporting currency. When you pay the foreign supplier or receive money from a foreign client, Xero calculates the foreign exchange profit and loss and posts the journals automatically.

Fixed assets are a breeze. The fixed asset register is integrated into the software and at month-end or year-end, you only have to click one button and depreciation gets calculated automatically, and journals are posted (yes, you guessed it) automatically! The level of automation is unheard of in other accounting applications.

 

In summary, the automation functions in Xero save me a significant amount of time. This is time that I can spend on things that matter and that actually bring about positive change.

 

OLD DESKTOP SOFTWARE FRUSTRATIONS

When I think back to the days when I was using old desktop accounting software, I remember how miserable and frustrated I felt. Compared to what I know now the software design was terrible. It took me hours to capture transactions manually, and there was so much room for human error. Things like typing errors, miscalculation mistakes, and misallocation errors could easily slip through the net.

In addition to the potential for errors, you could only work from a computer where that file was located. You had to have a very reliable backup procedure in place and make sure the file did not corrupt. Every year you had to ensure that you received the updates from the software company and then install the latest version on your computer. Just talking about all these frustrations makes me feel exhausted. No wonder I was so miserable and unhappy in the finance industry.

With all the software housekeeping, back-and-forth using non-automated software and ensuring that I had not made a mistake I never felt like I was adding real value to businesses. I never had time for the exciting things, like forecasting and presenting valuable business insights to business owners and helping them to grow their business.

NOW I HAVE TIME TO DO WHAT ACTUALLY MATTERS

Since the routine tasks are taken care of with cloud accounting and I know that the financial integrity is of a high standard, I can now focus on monitoring the financial health of businesses I look after and providing regular and valuable feedback to business owners.

 

I am now able to improve financial reporting and be innovative with bringing the business numbers to life so business owners can make better decisions.

 

I am not stuck in the past anymore, and I am certainly not playing catch up all the time. Instead, I can look ahead in business and focus on cash flow forecasts and company targets and help business owners prepare for what is coming.

I AM A HAPPY ACCOUNTANT AGAIN

Cloud accounting made me enjoy the finance industry again. It enables me to contribute in a meaningful way to businesses by utilising my financial expertise on a level that matters.

The routine tasks are necessary, but with this great new technology available you do not have to waste time by doing it yourself anymore. I am also a happy accountant because I help other accountants and businesses switch toXeroand make them aware of this brilliant technology. I love to see how people’s lives are improved and how stress levels decrease because the automation of cloud accounting brings freedom and joy.

Now that you are totally convinced to switch over, click here to get started.

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ESTABLISHING STRUCTURE AND GAINING CONTROL THROUGH TWO LEADING CLOUD-BASED SYSTEMS: DEAR INVENTORY AND XERO ACCOUNTING

Business type: Manufacturing

Industry:  Spirits

Size:  10+ employees, 3 locations

Distribution: South Africa – 90 + Outlets

Region: South Africa

Integrations:  Dear,   Xero

Customers since: June 2017

Website:  www.musgravegin.co.za

Musgrave is an artisanal gin and spirits brand founded by Simon Musgrave.

In 2017 this rapidly growing spirits business approached the systems experts at Creative CFO to help them implement and integrate cloud-based inventory management and accounting systems.

 

“We contacted Creative CFO because we reached the stage of being an established business. Initially, I started Musgrave as a sideline hobby, hoping that it would become something, and I found myself two years later with a rapidly growing business, a rapidly growing brand, 500% growth and I didn’t really know how to put one and one together.” – Simone Musgrave

 

With Creative CFO’s deep technical knowledge and extensive manufacturing experience in Dear inventory and Xero accounting, Simone could look forward to a seamless, stress-free implementation that would give structure as well as insights into key areas of the business.

In this case study you will discover:

  • The key challenges Musgrave faced
  • The key solutions Dear and Xero offered to solve their problems
  • A Q&A with Simone Musgrave
  • The Creative CFO systems implementation process
  • Where to book a Creative CFO Systems Analysis.

Download the full case study to find out how Creative CFO’s systems experts helped Musgrave implement a scalable system that creates control and sophistication around their stock, manages multiple locations, supports a large inventory list and provides real-time reports that can be accessed from anywhere in the world.

Case Study – Musgrave Spirits by Louise de Nysschen

 

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Gaining operational independence and control through two leading cloud-based systems: Dear Inventory and Xero Accounting

Business Type: Manufacturing

Industry: Building Materials

Size: 40+ employees, 2 locations

Region: South Africa

Integrations: Dear, Xero

Customers Since: June 2018

Website: www.thetilehouse.co.za

John Almon established The Tile House in 1988 – a hands-on family run business that sources and supplies high-quality tile products to the South African market.

In 2018 they decided to break away from a larger retail group and needed to become fully independent. This was their opportunity to move away from a centralised and bureaucratic laden  Enterprise Resource Planning (ERP) and migrate on to two comprehensive, understandable and affordable cloud-based systems, where real-time information is available, instantly.

The Tile House, subsequently approached Creative CFO’s systems experts to assist them with the implementation. With the Creative CFO’s deep technical knowledge and extensive experience in Dear Inventory and Xero Accounting, John and his management team could look forward to a seamless and stress-free systems implementation and roll out.

In this case study you will discover:

  • The key challenges the Tile House faced 
  • A deeper look into the key solutions Creative CFO offered and set up through Dear and Xero in order to solve their current problems
  • The Creative CFO Systems Implementation Process
  • Where to book a Creative CFO Systems Analysis

View the full case study to find out how Creative CFO successfully replaced and upgraded a full-fledged corporate group ERP with Dear and Xero.

Download The Tile House Case Study

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Method 3 – Manual Manufacture at the time of Assembly (finished goods represented in inventory)

The idea behind this approach is to buy in raw materials, track the quantity and value of those raw materials and then convert raw materials into tracked finished goods when you do an assembly in your workshop.

Xero transfers the value of the raw materials to the finished goods item so that when you sell a finished good Xero will automatically bring the cost of sales across from the inventory account.

You set this up by:

  • Creating tracked inventory items in Xero for all your raw materials
  • Creating tracked inventory items for your finished goods (similar to a service item)

The finished good is therefore represented in your inventory once you have done this process and will be visible on stock reports.

Method 3 Example – see video here!

You start the month with no stock.

  • Create the following tracked inventory items for your materials:
    • Bicycle frame
    • Bicycle wheel
    • Bicycle seat
  • Create the following tracked inventory item for your finished good:
    • Bicycle complete
  • Buy in quantities of tracked inventory items with the following prices:
    • Bicycle frame – QTY 5 at R750 each
    • Bicycle wheel – QTY 5 at R250 each
    • Bicycle seat – QTY 5 at R200 each

As Xero treats this as tracked inventory, you will see these values go directly to your balance sheet under inventory.

You’ll note that this should be enough to make 5 bicycles overall, with 1 frame, 2 wheels and 1 seat used in each assembly. This list is called thebill of materials as if you add up the numbers it should equate to R1400 of materials per completed bicycle.

Before you can make a sale of a tracked inventory item you must have stock of that item. Go test it, you will see in a sales invoice you can only create a draft and not an approved invoice for a complete bicycle.

So, let’s manufacture then.

We have two options to do this, one uses an invoice and one uses an inventory adjustment. Both work, the invoice method may be a bit quicker as you can do all the materials at once, the adjustment method does not leave a trail of ‘internal’ invoices.

  • Manufacture 3 bicycles from the materials using an Invoice method
    • Create a sales invoice and sell the correct amount of materials for 3 bicycles to the production contact. The selling price is Zero
      • Note the impact on the profit and loss report. There should be R1400 x 3 = R4,200 in ‘Manufacturing Costs (should be zero)’
    • Create a purchase bill for 3 complete bicycles from the production contact. You need to use the overall value of the costs produced b the step above divided by the number of bicycles. For example, using our numbers above you will purchase in 3 complete bicycles at R1,400 each.
      • Pay off the purchase to the ‘Manufacturing Costs (should be zero)’
        • Note the impact on the profit and loss report. There should be no ‘Manufacturing Costs (should be zero)’ amount remaining.
  • Manufacture 2 bicycles from the materials using an Inventory Adjustment method  
    • Sell the correct amount of materials for 2 bicycles to the production contact
    • Purchase 2 complete bicycles from the production contact

Now let’s do a sale

  • Sell 4 bicycles to a customer for R5,000 each  
    • Note the impact on the profit and loss report.
      • Sales of R20,000. Cost of sales of R5,600 (4 bicycles @ R1,400 each)
    • Note what remains on the balance sheet and your inventory reports
      • One complete bicycle @ a value of R1,400

Note, you must perform the either of the two manufacture options, invoice or inventory adjustment, after each actual assembly in your workshop otherwise you will not be able to sell the finished goods in Xero.

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Method 2 – The monthly manufacturing process (no finished goods are represented in inventory)

The basic idea behind this approach is to buy in raw materials, and track the quantity and value of those raw materials.

Then when you sell a finished good perform an extra step to reduce the raw materials used in that sale to create the correct cost of sale.

You set this up by:

  • Creating tracked inventory items in Xero for all your raw materials
  • Creating untracked inventory items for your finished goods (similar to a service item)

The finished good is therefore never actually represented in your inventory. Xero calls this an ‘untracked item’, and it’s treated the same as a service offering in that there is no physical quantity on hand and you can sell unlimited amounts.

You can still see how many of these items you sold but it never shows up on a stock on hand report.

Method 2 Example – see the video here

Click here for Part 2, and Part 3 of the video

You start the month with no stock.

You create the following tracked inventory items for your materials:

  • Tricycle frame
  • Tricycle wheel small
  • Tricycle wheel big
  • Tricycle seat

You create the following untracked inventory item for your finished good:

  • Tricycle complete

You buy in quantities of tracked inventory items with the following prices:

  • Tricycle frame – QTY 6 at R450 each
  • Tricycle wheel small – QTY 12 at R50 each
  • Tricycle wheel big – QTY 6 at R100 each
  • Tricycle seat – QTY 5 at R75 each

As Xero treats this as tracked inventory, you will see these values go directly to your balance sheet under inventory.

You’ll note that this should be enough to make 6 tricycles overall, with 1 frame, 2 small wheels, 1 big wheel and 1 seat used in each assembly. This list is called the bill of materials as if you add up the numbers it should equate to R725 of materials per completed tricycle.

You then manufacture and sell a tricycle.

Note – Xero only allows you to sell these complete tricycles as they are treated as untracked inventory items.

After the sale, you can see the sales amount on your profit and loss but there is no cost of sales. If you check your balance sheet you will see the inventory is still there.

To process the cost of sales we need to do a production invoice to recognise that we have used up the raw materials during the month and sold them in the form of a finished bike.

The sale happens at zero value for all the components but this brings in the cost of sales.

When you do your stock count at the end of the month you should find you have the components for 5 tricycles still on hand. If you manufactured more but did not sell them what you will notice though is that since we are not using a method that allows finished goods to be represented you will see that the finished tricycles are still represented on the stock count as raw materials.

As only the raw materials are represented on your inventory list this method clearly works well when you manufacture to order or don’t hold many finished goods in stock over a month end.

This method is a step up from the stocktake method in terms of cost of sales accuracy as the only manual component now is entering the materials used in the manufacture of the finished goods.

Xero is calculating the average cost of your inventory so you don’t have to estimate the cost of the materials anymore. If you buy some materials at one price and some at another then Xero will keep track of this.

You can perform the cost of sale step after every finished good sale or once a month based on all finished goods sales for that month.

If you need to represent finished goods on your stock count please use Method 3.

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Xero Inventory

Xero’s inventory module allows you to purchase in and sell inventory items using the average cost method.

This means if you purchase inventory, Xero will store the quantity on hand and the average cost of that inventory, and represent the sum of those amounts on your balance sheet under inventory.

This is preferable over immediately recognising any stock purchases as an expense, as when the item is sold the average cost of that inventory item will automatically be moved from the inventory account on the balance sheet to your profit and loss under the cost of sales.

This is important as it improves the reporting on your profit and loss report, and shows you the sales and related cost of sales in the same month.

Getting this timing right, sales and cost of sales in the same month is the main part of using an inventory module and allows you to work out your profit margins.

Here are some resources from Xero on how the inventory module works:

The options available to manufacture in accounting systems

In general, there are 3 main options to do manufacturing in Xero.

Method 1 – The monthly stocktake adjustment

In this method, you would expense all raw materials when you buy them. This results in a very high cost of sales in the month of purchase. At the end of the month, you do a stock take, assign values to all the items on hand, using purchase prices or your best average estimate, and reverse out some of the cost of sales to an inventory account on your balance sheet.

Example – see the video here!

You start the month with no stock. You buy R8,500 of stock and it shows up as an expense of R8,500 in the Cost of Sales section.

You then make some sales, let’s say R17,500 of sales using R4,500 of stock.

At this point, your profit and loss show R17,500 in sales and R8,500 in cost of sales. A cost margin of 48.57% (8,500/17,500)

When you do your stock count at the end of the month you should find you have R4,000 on hand still. You then post a journal to reverse out R4,000 from the Cost of Sales and add it to your balance sheet under Inventory.

Now your sales show R17,500, your cost of sales shows R4,500. This is a cost margin of  25.71%, which is a lot better than before. Your R4,000 of stock is sitting as inventory on your balance sheet.

This is a very rudimentary method and means that you cannot track individual sales against their cost of sales. It also means that your inventory balance and cost of sales amount are based on the estimated values of your stock count.

It is the simplest to perform, however, can be done in any accounting system, and is best suited when there is a single person in charge of the business and stock who already knows the margin and cost of sales for each item they sell.

The manual manufacturing process in Xero

Manufacturing cannot be done in Xero as a standard inventory workflow. This means:

  • There is no bill of materials functionality to allow the manufacture or perform an assembly of, several raw material inventory items into a single finished good item.
  • There is no automatic calculation for cost of sales when a finished good, comprising of a number of separate raw materials in inventory, is sold.

What Xero does allow however is for you to purchase raw materials into stock, track the quantity and cost of that inventory.

With this function, you can use a manual manufacturing process to get your cost of sales and sales aligned in the same month.

There are two ways of doing this after you have bought in the raw materials as tracked inventory items:

  • Once a month, and based on what was sold, you expense the raw materials to cost of sales(method 2a).Finished goods set up as untracked ‘service’ items
  • After each manufacturing run convert the raw materials used in the process into a specific quantity of available finished goods. This reduces raw materials on hand and increased finished goods(method 2b).Finished goods set up as tracked items

Method 2b requires you to follow the process after every assembly you make as you can only sell a tracked inventory item once it’s been assembled and is in stock. Xero will not let you sell the item if the quantity is zero.

If you do not have the financial team members to drive this assembly process in the system, then method 2a is preferable as you will always be able to make the sale as untracked items do not have a quantity on hand.

Learn more about Method 2

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This has been a month of new learnings and research for the Creative CFO systems team as we continue to explore various pieces of software to meet the needs of clients as well as our own.  Follow us as we take you on a fixed asset walkthrough, harnessing all that DEAR has to offer and some scheduling software used by the likes of  Amazon and MacDonald’s – home to the famous Big Mac.

1. Fixed Assets in Xero

Take-ons in an implementation

  • Adding fixed assets
    • Fixed assets may be added to Xero one-by-one or through CSV upload but before you do this you will need to specify some asset types
    • The important inputs are purchase date, purchase price, asset type, opening book accumulated depreciation (being the accumulated depreciation at conversion date) and book value (being the carrying amount at conversion date)
  • Asset types
    • You can create these by navigating to the settings of the Fixed Asset section of Xero
    • Asset types are used to link a fixed asset account, an accumulated depreciation account and a depreciation expense account
    • Asset types also specify certain defaults, such as the depreciation method and the effective life of that asset class

Managing the FAR post implementation

  • Adding new fixed assets
    • Bills allocated to a fixed asset account (which is used in one of the asset types) will populate the FAR with a draft fixed asset
    • A spent money (allocated straight from the bank rec screen to a fixed asset account) will populate the FAR with a draft fixed asset
    • However, fixed assets may also be added manually, the important inputs follow the above and the depreciation start date should in most cases be the asset purchase date
  • Running depreciation
    • This is easy to do by clicking on the Run Depreciation button and the date range specified is malleable
    • As a sanity check, after loading all fixed assets at conversion date, one can run the depreciation for March and check this against the Feb depreciation expense from the old system
    • It is also very easy to roll back and redo depreciation so do not hesitate before running depreciation

Reconciling fixed assets to the balance sheet

  • The Fixed Asset Reconciliation (New) Report
    • This report shows the differences between what is in the FAR and what has actually been allocated to balance sheet accounts
    • This fix asset register does not force inputs to match the balance sheet accounts so discrepancies may arise
    • This includes differences in cost (from the bill vs what was specified in the FAR), and accumulated depreciation (from conversion balances vs what was specified in the FAR, as well as, accumulated depreciation arising from running depreciation in the FAR vs the journal effect of these depreciation runs)

2. DEAR Features

Lock periods

  • Periods should also be locked in DEAR and not only Xero
    • If one locks the periods in Xero only, clients can still process backdated transactions they will just not flow all the way through to Xero as they will be blocked by the DEAR-Xero sync
    • The result of this is that when doing a DEAR vs Xero comparison, revenue and COGS may not match as backdated transactions processed in DEAR would not have entered Xero
    • If one locks the periods in Xero and DEAR then clients will not be able to process backdated transactions in DEAR and the two systems will remain in line
    • To lock the periods in DEAR, navigate to Settings, General Settings and scroll down to Period Lock Date

B2B

The DEAR B2B portal setup is available under the integration options in DEAR

  • We have done more of these B2B setups for clients of late
  • The portal is geared towards regular wholesale customers and it works  excellently as it is quick and easy to give an existing DEAR contact portal access
  • Customers are able to log in and place orders (whilst viewing their own personal pricing) meaning that what the customer sees in the portal depends on their login
  • Customers are also able to track their orders and view the current stage of processing, as well as, access their invoices

3. Deputy Scheduling

The systems team is currently working on the implementation of this software for a new client. It is a brilliant piece of software where users can not only create schedules for their staff, but staff can also track time from a mobile app. Recorded data can then be imported into SimplePay and payroll can be run based on the Deputy hours. We will do a full review of this software in next month’s newsletter (post-implementation).

If you have any questions related to the above or feel like you may benefit from any of the mentioned features, please book a session with the systems team here

Jason Proctor (Creative CFO – Systems Team)

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April has been a busy month so far, with the new South African VAT rate now in full swing. Here is a summary of  what we expectedwhat actually happened and any  systems changes that may still be required.

1. XERO

what we expected

  • New 15% rate added
  • Old rate renamed
  • Default inventory and contact rates changed to 15%

what actually happened

  • The new rate appeared in Xero
  • The 14% rate was only renamed if you were using the Xero defaults (this mainly affected older Xero accounts)
  • Default inventory and chart of account rates changed to 15% (happened around the second week of April)
  • Default contact rates not changed

systems changes that may still be required

  • If you were previously using the Xero default rates and do not assign VAT your contacts then no further updates are required
  • There is a hierarchy used to determine the VAT rate on an invoice or bill which follows the image below:

  • Most Xero users do not utilise the contact VAT rate feature, but if you do you will need to export all of your contacts, update the default VAT rate and re-import them
  • For older Xero users who were not using the default VAT rates in Xero, you will need to update the Chart of Account defaults and any inventory item defaults, yourself

2. DEAR

what we expected

  • New rules to automatically sync from Xero
  • Rules to automatically be applied to SOs and POs (new rule would have the same name as the old rule previously had)

what actually happened

  • Old rates remained customer and supplier defaults if you were not using the Xero default rates
  • If Xero default rates were used in DEAR VAT rates flowed through to Customer, Supplier and Product setup correctly

systems changes that may still be required

  • If you were using rates which were not the Xero defaults then you will need to export all of your customers, suppliers, and products, update the default VAT rate and re-import them
  • The correct VAT rate names to include on the import can be found by navigating to Settings, Reference Books, Taxation Rules

3. SHOPIFY

what we expected

  • A manual change of the VAT rate to 15% on 01 April 2018

what actually happened

  • The rate changed automatically as Shopify changed their default VAT rate for South Africa

systems changes that may still be required

  • If your Shopify sales are flowing into Xero with the wrong VAT rate applied or not flowing through to Xero at all, create a VAT rate called SH VAT Global, with the Tax Component – SH VAT GLOBAL @15% and assign it as the default rate for your Shopify Sales account
  • Refresh your Xero settings in Shopify and try the Shopify export

4. VEND

what we expected

  • A manual tax rate added – “VAT – 15%”, making this the default tax rate
  • Linking this tax rate to the correct Xero VAT rate in the integration settings

what actually happened

  • If product specific default tax rates were specified then these overrode the new rate which was added manually

systems changes that may still be required

  • If you were using product-specific rates you will need to export all of your products, update the default VAT rate and re-import them
  • If the new rate isn’t pulling through to your iPad then you will need to delete the VEND app and re-install it

5. RECEIPT BANK

what we expected

  • Selecting “Allow Xero to decide” would ensure that the Xero defaults were applied

what actually happened

  • Xero defaults were only changed later so new rates were not applied

systems changes that may still be required

  • After making the relevant changes in Xero, follow the steps below;
    • Ensure that the Tax Settings in the integrations setup are as follows;
      • Publishing tax data – Allow Receipt Bank to decide
      • Use tax list – On
      • Use supplier tax rates – Off
    • Ensure that before publishing a receipt the receipt details are as follows;
      • Tax – Extracted amount (always double check this against the actual amount on the receipt, if the tax amount is incorrect, enter it manually or select the 15% rate)
      • Ensure that the total amount matches the receipt
  • Helpful tip
    • To double check that Xero is setup correctly – Have a look at the tax default for the account that you would like to allocate the receipt to

If you are still struggling with any of the above please book a session with the systems team.
And feel free to send over any questions you may have regarding this month’s newsletter.

Jason Proctor (Creative CFO – Systems Team)

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December was an exciting month in the space of integrations, and the new VEND-YOCO  integration is making waves.

There is now a high-level integration between VEND POS and the YOCO payment service.

Previously, when checking out on VEND, one had to tap the “Credit Card” payment type on iPad and manually enter the payment amount into the merchant payment device (card machine). This process used to take a fair amount of time and allowed room for error as cashiers could enter an amount not matching the sale amount.

VEND and YOCO, well mostly YOCO, have worked hard to make this process “SEAMLESS”

The new integration ensures:

  • The YOCO device pre-populates the sale amount matching VEND (no human entry required)
  • The cashier does not need to touch the customer’s credit card as no data entry on the YOCO device is required by the cashier
  • It is now *almost impossible to have a discrepancy, during the cash-up, between the total card payments displayed on VEND and YOCO in your end of day reconciliation

With YOCO doing so well in South Africa at the moment (and stealing market share from the big dogs like Nedbank), other payment providers are trying to get in on the action (or reclaim the market). See below!

This integration can be a huge value-add to clients and is quick to set up. If you have any client’s using VEND and a YOCO device please forward them this link containing the set-up guide:

https://support.vendhq.com/hc/en-us/articles/115005545668

Feel free to send over any questions you may have regarding this month’s newsletter.

Jason Proctor (Creative CFO – Systems Team)

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