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Ecommerce accounting differs enough from general practice that a competent local accountant will frequently get it wrong — not through incompetence, but because Shopify's data model, multi-state sales tax and inventory accounting don't resemble the businesses most practices handle.
What this category covers, and what goes wrong without it:
- Tax and compliance — sales tax, VAT and Shopify Tax setup, plus tax preparation and filing. Economic nexus means crossing a revenue threshold in a state creates a filing obligation there whether or not you have any presence, and merchants routinely discover this several states and two years late.
- Day-to-day accounting — bookkeeping and accounting built around Shopify payouts, which arrive net of fees and span multiple order dates. Booking payouts as revenue is a common error that hides processing costs entirely.
- Inventory and margin — inventory and COGS accounting, and inventory management. Without landed cost per SKU you can't tell which products make money, and treating stock as an expense rather than an asset makes the business hard to finance.
- Decision support — cash flow and profitability analysis, financial planning and forecasting, and financial reporting and KPI dashboards.
- Embedded leadership — fractional CFO services for brands typically between $2M and $25M, covering inventory purchasing, financing decisions and board reporting.
- Capital and payments — funding, fundraising and valuation, currency conversion, local payment methods, and chargeback support.
Past roughly $500,000 in revenue, or as soon as you sell across state or national borders, ecommerce-specific expertise stops being optional. Compare vetted Shopify accountants below, or browse the specific service you need.
The main risk in this category is hiring a good accountant who doesn't know ecommerce, and not finding out until a filing deadline or a due diligence process.
Ask what proportion of their clients are ecommerce. Not whether they have some — what share. A practice where ecommerce is a minority speciality will handle your bookkeeping competently and miss nexus, inventory treatment and payout reconciliation. Ask directly for the number and for two Shopify clients at comparable scale.
Ask specifically about sales tax nexus monitoring. This is the single highest-consequence area and the one generalists most reliably miss. A good answer describes how thresholds are tracked across states, at what frequency, and what triggers a registration recommendation. A vague answer here is disqualifying regardless of everything else.
Establish who does the bookkeeping and who does the advice. They're different services at different rates, often different people. Bookkeeping is compliance and record-keeping; advisory is what you do with the numbers. Merchants frequently pay advisory rates for bookkeeping or, worse, expect advisory judgement from a bookkeeping engagement.
Check the tooling before you commit. Ask which accounting platform they work in and how Shopify connects to it — A2X, Link My Books, or direct integration — because a manual reconciliation process will cost you in fees every month and introduce errors. This is a five-minute question that reveals a lot.
For international selling, verify multi-jurisdiction experience explicitly. UK VAT, EU OSS and IOSS, Australian GST and Canadian GST/PST/QST each have their own registration thresholds and mechanics. Selling internationally without someone who has handled the relevant jurisdiction is how obligations accumulate quietly.
Separate the fractional CFO question. If what you actually need is help with inventory purchasing decisions, cash flow forecasting or financing, that's fractional CFO work at $3,000-$15,000/month, not an accountant. Both are legitimate; they're different hires.
These account for most of the remediation work in this category. If any describe your situation, it's worth a review before it becomes a filing problem.
Unmonitored sales tax nexus. Economic nexus rules mean crossing a revenue or transaction threshold in a state creates a filing obligation there, whether or not you have any physical presence. Merchants growing quickly cross thresholds in several states without noticing, and discover it during due diligence or an audit notice. Back-filing and penalties cost considerably more than monitoring would have. A nexus review runs $500-$3,000 and is the highest-value first engagement for most US merchants past $1M.
Shopify Payments booked as revenue. Payouts arrive net of fees, cover multiple order dates, and include refunds and chargebacks. Recording the payout as revenue understates gross sales, hides processing fees, and makes margin analysis meaningless. Fixing historical records runs $1,000-$5,000 depending on how long it's been happening.
Inventory expensed rather than capitalised. Treating stock purchases as an expense in the month of purchase makes profitability swing wildly with buying cycles and misstates the balance sheet. It also makes the business hard to finance, because lenders and investors read it correctly even when your P&L doesn't.
No SKU-level cost of goods. Without landed cost per SKU — including freight, duty and inbound handling — you can't tell which products make money. Merchants frequently discover their best-selling product is close to break-even once true landed cost is applied. Setting this up runs $1,500-$8,000 and changes merchandising decisions immediately.
Missed international registrations. UK VAT, EU IOSS for consignments under €150, Australian GST — each has its own trigger, and selling into a market without registering where required accumulates a liability quietly. Reviews run $800-$4,000 per jurisdiction.
None of these are exotic. All of them are routine for an ecommerce-specialist accountant and easy for a generalist to miss.
Finance work is priced across three distinct tiers — bookkeeping, compliance and advisory — and merchants frequently conflate them when comparing quotes. Typical ranges from experts listed on shopexperts:
Per project
Nexus reviews and cleanups to full finance function builds
Hourly rate
Bookkeepers to senior ecommerce CFOs
Monthly retainer
Bookkeeping to fractional CFO engagements
Monthly bookkeeping runs $300-$1,500 for straightforward stores and $1,500-$4,000 where multi-channel, multi-currency or inventory complexity is involved. Sales tax nexus reviews run $500-$3,000; ongoing nexus monitoring and multi-state filing runs $200-$1,500/month depending on the number of jurisdictions.
Historical cleanup — fixing payout reconciliation, inventory treatment or misclassified transactions — runs $1,000-$8,000 depending on how many periods are affected. SKU-level cost of goods setup runs $1,500-$8,000. International VAT or GST registration and setup runs $800-$4,000 per jurisdiction. Annual accounts and tax filing runs $1,500-$10,000 depending on entity structure and complexity.
Fractional CFO engagements run $3,000-$15,000/month and cover inventory purchasing, cash flow forecasting, financing decisions and board reporting for brands typically between $2M and $25M revenue. Offshore bookkeeping is common and works well for transaction processing and reconciliation from documented procedures at 60-80% less; tax advice, nexus judgement and anything jurisdiction-specific needs someone qualified in the relevant jurisdiction. Request a free quote for a figure specific to your situation.
Six areas across compliance, bookkeeping and advisory:
Payout reconciliation, multi-channel revenue, monthly close
Threshold monitoring, registration, multi-state filing
Landed cost, SKU-level COGS, inventory as an asset
UK VAT, EU OSS and IOSS, Australian GST, Canadian GST/PST/QST
Contribution margin by product and channel, cash flow forecasting
Inventory purchasing, financing decisions, board reporting
An ecommerce-specialist accountant handles bookkeeping built around Shopify's data model, payout reconciliation separating gross revenue from fees and refunds, sales tax nexus monitoring and multi-state filing, inventory and landed cost accounting, international VAT and GST obligations, and financial reporting that shows contribution margin by product and channel. Some also offer fractional CFO capacity for purchasing, forecasting and financing decisions.
$500 to $40,000 per project, $70 to $350 per hour, or $300 to $15,000 per month on retainer. Monthly bookkeeping runs $300-$4,000 depending on complexity, nexus reviews run $500-$3,000, historical cleanups run $1,000-$8,000, international VAT setup runs $800-$4,000 per jurisdiction, annual filing runs $1,500-$10,000, and fractional CFO engagements run $3,000-$15,000/month.
For a small store with domestic sales and simple inventory, a good general accountant is usually fine. Past roughly $500K in revenue, or as soon as you sell across state or national borders, the specialist premium pays for itself — sales tax nexus, Shopify payout reconciliation, inventory capitalisation and landed cost are all routine for an ecommerce accountant and reliably missed by generalists. The failure mode isn't bad accounting; it's correct accounting applied to a business model it wasn't designed for.
Economic nexus means crossing a revenue or transaction threshold in a US state creates a sales tax filing obligation there, regardless of whether you have any physical presence. Thresholds vary by state. A growing Shopify store can create obligations in several states in a single year without anyone noticing, and the liability accrues from the date the threshold was crossed rather than the date you discover it. Back-filing plus penalties routinely costs more than years of monitoring would have. A nexus review at $500-$3,000 is the highest-value first engagement for most US merchants past $1M.
Because a payout is not a sale. It arrives net of processing fees, covers orders placed across several days, and nets off refunds and chargebacks. Recording it as revenue understates gross sales, hides processing costs entirely, and makes margin analysis meaningless — you cannot see what you're paying to process payments or what refunds are costing you. Proper reconciliation separates gross revenue, fees, refunds and adjustments, usually via a tool like A2X or Link My Books rather than by hand.
Possibly, and the rules differ by market and consignment value. The EU's IOSS scheme applies to consignments under €150 and lets you collect VAT at checkout rather than leaving customers with a customs bill. UK VAT has its own registration threshold and treatment for overseas sellers. Australia and Canada each have separate GST rules. Selling into a market without registering where required accumulates a liability quietly, and it usually surfaces at the worst moment. A per-jurisdiction review runs $800-$4,000.
An accountant records what happened and keeps you compliant. A fractional CFO helps decide what to do next — how much inventory to buy and when, whether to take financing and on what terms, which products and channels to expand, and what the cash position looks like three months out. Fractional CFOs run $3,000-$15,000/month and typically suit brands between $2M and $25M revenue: past the point where these decisions matter, before the point where a full-time CFO is justified. Many merchants need both, and they're separate hires.
For transaction processing, reconciliation and monthly close from documented procedures, yes — it's common and works well at 60-80% less than domestic rates. What shouldn't go offshore is tax advice, nexus judgement, and anything requiring qualification in a specific jurisdiction, because those carry liability and depend on current local rules. The usual arrangement for mid-market brands is offshore bookkeeping under a qualified local accountant who owns the compliance and advisory layer.