Shopify accounting for fashion brands
Unfck your Shopify fashion numbers.
The launch is only the start of the collection’s story. We connect Shopify payment routes, returns, recovered stock and markdowns, so you can see what the season earned and what the next collection asks of cash.
Free 30-minute fit call with Sam. No obligation to proceed.
Monthly accounting with the channel and product detail intact.
Returns change the story.
- Sales excluding VAT
- £20,000
- Customer refunds
- − £4,000
- Net stock cost + selling costs
- − £9,000
- Before ads & overheads
- £7,000
Platform + product
The return changes the collection.
Fashion margins are decided after the season, by returns and markdowns. The reporting has to reflect that, not the launch.
Payment routes and seasonal buying have different clocks. Keep the stock movement, refund and cash date connected.
Reporting outline
One collection, traced from launch to markdown
- Sales and discounts by collection, before and after returns
- Returns and exchanges applied per variant, with carriage both ways
- Landed product cost and payment fees, with BNPL and gateway timing shown separately
- Contribution per collection, then stock ageing and the cash committed to the next drop
Reporting outline only, not measured figures or a client result. Deliverables are agreed for your records and reporting needs. Returns and VAT treatments are reviewed case by case.
What changes
Unfck the moving parts.
- 01
The launch margin ignores returns.
Contribution after the returns.Reconcile refunds, recovered stock, carriage and processing against the collection. Exchanges and gift cards need their own reviewed treatment.
- 02
The wrong variants hold the cash.
An ageing and markdown view.Follow size and colour variants through stock and costs. The next buying decision needs the slow sellers, not just the launch total.
- 03
The season and the payout do not align.
Payment routes and commitments mapped.Check the actual Shopify Payments, PayPal and BNPL setup. Map seasonal deposits and balance payments, with forecasting scoped separately.
The agreed work
Monthly work. Defined properly.
The monthly close is built for decisions: what the collection earned, what is ageing and what the next buy needs.
Agree the deliverables before the monthly work begins. Reporting depth, bookkeeping, VAT, payroll and year-end responsibilities follow your engagement.
Historical records need attention? ↗- Gateway and payout reconciliation across Shopify and other channels
- Returns-adjusted contribution reporting by collection and channel
- VAT records and liabilities reviewed within the agreed scope
- Inventory, markdown and slow-seller review
- Seasonal cash calendar around buying commitments, where included in the engagement
Optional, scoped separately: forecasting, historical cleanup and exit preparation. Treatments that depend on the facts (returns, exchanges, gift cards) are reviewed against current guidance rather than applied as blanket rules.
The working approach
Trace a collection through the records
Start with Shopify orders, discounts and returns by collection. Match the actual payment-provider settlements, then connect landed product costs, return carriage and markdowns to the reporting period. Agree the collection or SKU detail your records support before relying on the contribution figure. This describes the work to scope, not a measured client improvement.
A process outline, not a client result.
How we start
A proper starting point.
- 01
Map the business
Channels, systems, stock and deadlines. Identify the gaps before proposing the work.
- 02
Agree the scope
Deliverables, responsibilities and fee. Separate any historical clean-up from recurring support.
- 03
Build the routine
Connect the records, reconcile the opening position and establish the agreed reporting cadence.
Straight answers
The specifics, explained.
How do returns change reported margin?
They reverse the sale and add carriage and processing costs, sometimes weeks later. Margins that ignore returns are optimistic; we accrue for returns so each period reflects its own trading.
Can you report by collection or SKU?
Yes. Reporting is built at the level decisions get made: collection, product or variant, depending on what you are deciding and how deep the data goes.
How are gift cards and exchanges handled?
Gift cards sit as liabilities until redeemed, and exchanges are tracked through stock so nothing quietly vanishes. The treatment is reviewed against current guidance and your facts.
Can you reconcile Klarna and PayPal?
Yes. We first check the actual payment setup. Some methods flow through Shopify Payments; others settle separately. Each actual provider balance is reconciled, without assuming that every checkout logo has a separate payout.
Can you plan cash around seasonal buying?
Where included in your engagement, supplier deposits and balance payments can be mapped alongside expected receipts. Forecasts and buying scenarios are scoped separately from routine monthly accounting.
Your next step
Keep the season, not just the launch.
Talk to Sam about your collection reporting and the scope that fits.
Free 30-minute fit call with Sam. No obligation to proceed.