Connecting your Uphance account to your Xero Accounting account will effectively allow you "push" invoices from Uphance into Xero. This is essential for accurate bookkeeping for all your channels. Uphance can also periodically query Xero to add payments to your invoices based on payments already recorded in Xero.
When an invoice is pushed from Uphance to Xero, Uphance assigns the nominal account codes to the product and shipping components of the invoice. You can choose the nominal account codes to use from the Xero settings page.
You can also override the product sales nominal account code on a customer-by-customer basis by editing the specific customer details.
How to Integrate Xero Accounting And Start Processing Transactions on Uphance
Prerequisite: Before attempting to integrate Uphance with Xero, you must have an account with Xero.
Add Xero to Uphance
To add the Xero Accounting app to your Uphance Account:
Navigate to the Apps section from the left-hand side of your Uphance dashboard.
Click the All Apps button and Locate Xero from the list of Apps and Integrations available.
Configuring Xero
Once you've added Xero to your Uphance account, the next step is to configure it.
The first step in the configuration process is to connect Uphance to your Xero account by logging into it. Once you've logged in, give Uphance access to the organization you want.
And like that, you've successfully linked your Uphance account with Xero.
Xero Status
The Xero Status section is where you get to set the accounting parameters you wish to automatically sync from Uphance to Xero. For instance, you can set invoices generated in Uphance to automatically sync to Xero.
Accounts By Channel
You’ll need to configure all your channels on Uphance to accurately record your accounting information and categories. For instance, for each channel you have, you’ll need to correctly map the Invoices Account, Deposit Account, COGS Account and Shipping Charges Account on Uphance to their corresponding accounts on Xero.
This is also where you get to select the Xero card fee account code and choose how you want to send invoices: Approved or Draft.
Another configuration you can do here is to enable/disable the Send line items in invoices and Send line items in vendor invoices.
If you enable the first one, product details quantities, prices, shipping details, etc. will be displayed in the invoices you push to Xero. The invoices will look something like this:
But if disabled, the invoice will only show consolidated goods, quantities and amount. It will look something like this:
Keep in mind that this also applies to vendor invoices.
Accounting Configuration
The accounting configuration section is where you configure accounting for your Shopify store or Iconic Marketplace (if you are connected to Iconic).
For Shopify, you can configure by sales or by brand.
Bank Accounts
The Bank Accounts section is where you assign the bank accounts in Xero to the sales channels or payment methods you have in Uphance. You can do this by channel or by payment method.
Direct Costs
This section allows you to align your direct costs with nominal codes in Xero. For instance, you can assign codes for your account receivables, accounts payables, and sales tax.
A couple of important things to note:
Purchase clearing represents the account you wish to use temporarily as a holding account. The main purpose of this account is to offset the time gap between the creation of vendor invoices and goods receipts.
The Purchases exclude from COGS dropdown is where you get to exclude charges that don't count as COGS.
When production order delivery is created, it creates a goods receipt, which is added to the stocks you have on hand.
Xero Tax Rate
This section is where you set the tax rate for sales and vendor invoices.
Tracking Categories
The tracking categories section enables you to track product categories based on region/location.
If you select a tracking category, such as country, company, agent, brands, etc., an additional column will be added to the invoices you send to Xero to accommodate these categories.
Here's an example:
