Smart Financial Tools For Shopify Entrepreneurs

Are you ready to take your Shopify store to the next level with smart financial tools that streamline your accounting, provide valuable insights, and help you make data-driven decisions to grow your business?

With over 4.6 million businesses already leveraging Shopify’s powerful e-commerce platform, integrating the right financial management tools can be the key to unlocking your store’s full potential and setting yourself up for long-term success in the dynamic world of online retail.

Many things in life warrant a leap of faith, and one of them is starting a business. The nature of your business can be about anything you can imagine. The possibilities are limitless, from custom-designed shirts inspired by your favorite characters to quaint ceramic creations for use or decoration. Figuring out what you want to sell is just the beginning.

When you’ve decided what you want your business to focus on, the next step is to find a platform where you can do marketing. To have a vast reach, you should maximize your digital presence first. You can do that by choosing the best e-commerce platform on the market. This is where Shopify comes in.

What is Shopify?

It’s one of the leading e-commerce platforms available today. Shopify is comprehensive subscription-based software that enables entrepreneurs to expand their businesses quickly. It is a reliable site that has helped over 4.6 million businesses build online stores. 

Shopify also has a point of sale (POS) system for your physical store, allowing you to integrate your online and offline operations seamlessly. You can sync your store inventory and manage both from a single account and device.

The basics of Shopify

The company has made it easy to accomplish entrepreneurial tasks in a single platform. For example, you can keep track of your sales and order receipts and analyze post-sale data. You can also put your items and services up on multiple platforms, including the Shopify website, social media, and physical stores. You can even synchronize the data from all these channels for effortless management.

Shopify’s simplicity makes establishing and designing your store relatively easy. The building process only takes a while; before you know it, you’re officially a Shopify entrepreneur!

Benefits of using Shopify for your business

Entrepreneurs across the world tap their full potential using Shopify. Its many features and offers make it an indispensable tool for startups and established businesses.  If you’re interested in establishing your brand on the platform and the e-commerce industry, you can enjoy the following benefits that Shopify offers:

Support various businesses

Many businesses can prosper with Shopify since it welcomes various industries to its platform. Products sold range from digital to physical products. These include eBooks, cosmetics, handmade goods, kitchenware, and online classes. As long your offering is not illegal or prohibited (i.e., alcohol, e-cigarettes, firearms, etc.), then you can sell almost anything.

Simple e-commerce platform

What sets Shopify apart from others is its user-friendly web design. Business owners can easily navigate and maneuver the software, performing various tasks such as managing inventory, offering discounts, and processing sales orders. Merchants can launch their online stores within minutes. The platform houses both the software and hosting necessary for the launch of an online store.

Personalized themes

Shopify entrepreneurs can choose over 70 free themes after signing up for the platform. They can also select paid themes if preferred, with both variants relatively easy to apply. As a Shopify user, you can incorporate as many design elements into your shop as possible, making it attractive and eye-catching to potential buyers. 

Support across multiple channels

Businesses with physical and digital stores can thrive in Shopify. The platform has its own POS system, which owners of brick-and-mortar stores can use. By signing up for a Shopify online store, you can access its POS system, too. Having the Shopify POS in your store lets you do transactions quickly and easily. Any changes to either store will also be reflected in the other.

Relatively affordable

One of Shopify’s main attractive features is its low monthly fees. Its plans range from $19 to $2,300, ideal for complex businesses and high-volume merchants. It also offers a 14-day free trial period.

Each plan includes a secure sockets layer (SSL) and web hosting. Businesses that prefer to use their domain name without associating with Shopify in the URL can pay an additional fee yearly.

Reliable and safe

Shopify prioritizes data security since that is an attribute that customers consider when choosing a shop. E-commerce merchants can gain the confidence and trust of their customers with this promise. The platform also makes data accessible anytime and sends updates about any maintenance work, allowing entrepreneurs to give their customers a heads-up in advance.

Various add-ons

The Shopify Marketplace sells over 3,500 add-ons to integrate into your online shop. For example, you can add email marketing software or a shipping extension to make your store as complete as possible. Shopify also connects you to various third-party applications to help you customize your store and improve your customer’s shopping experience.

Why do you need financial tools to boost your sales?

There are many strategies you can use to handle your shop’s finances, and one of them is to utilize financial tools. Integrating financial tools into your marketing strategies can be essential to your store’s growth and success. After all, managing business finances is a challenge for most people.

With the help of digital tools, you can simplify your daily financial work. From managing expenses to budgeting funds, you can easily do these with the right tools in your arsenal.

7 ideal financial tools for Shopify business owners

Multiple tools can be integrated into your Shopify store. What makes them so appealing is that they address the unique needs of e-commerce merchants. 

Financial tools are integral to your business growth and management, allowing you to handle your finances better and get payments quicker. Some of the financial tools or software that you can integrate into your Shopify store include:

1. Accounting software

You must ensure your accounting is to keep your business running smoothly. However, since hiring a bookkeeper can be costly, you opt for accounting software instead. This financial tool is indispensable to Shopify entrepreneurs. The right tool can streamline the accounting process and generate accurate reports. Some of the best accounting software include:

QuickBooks

This cloud-based software offers comprehensive accounting services, making it ideal for Shopify entrepreneurs. It’s subscription-based and can be used by any industry.

Zoho

This financial tool is a perfect entry-level accounting software. Since it’s free, it’s popular among startups. Upgrades are always available.

Xero

This accounting software is ideal for e-commerce shops and can accommodate multiple users without additional cost. It’s easy to use and can be essential to your financial management.

2. Automation software

Automation tools can be a vital part of your business. It’s designed to streamline various organizational tasks, increasing productivity and improving work efficiency. Automation software saves time, ensures accuracy, and maintains consistency. Its versatility makes it useful for multiple aspects of your business, including financial management. 

Some tools you can use include:

Pipefy

This workflow automation platform streamlines work operations and increases productivity. It also helps standardize the workflow of your finance team and adapt to their needs.

Netsuite

As a cloud-based automation software, it assists you in different parts of your business. For finance teams, specifically, it can help automate accounts payable and inventory management.

Penneo Sign

This automation software simplifies document processing and helps finance teams oversee all document transactions.

3. Budgeting software

To keep your business afloat, you need to be efficient with budgeting. A firm grasp of your cash flow can give you insights into financial projections. By using a budgeting tool adjacent to your accounting software, you can monitor the inflows and outflows of your money. 

Many budgeting tools are available in the market for professional use, including the following:

Scoro

This software has exceptional budgeting features that can help you manage your finances in one system. It enables you to manage resources, expenses, and project budgets.

Float

This financial tool is excellent for cash flow prediction and financial management. It’s easy to use and can be integrated with select accounting tools.

Maxiplan

This company offers cost-effective financial solutions, making it easier to plan your financial performance. It’s perfect for businesses that want something simpler than traditional Excel sheets.

4. Expense tracker

An expense tracker provides incredible insights into your financial health. It allows you to monitor your business’s spending habits, experience fewer financial errors, maximize work operations, and simplify overall financial management. This tool is vital for entrepreneurs to keep their financial records in check. 

Some expense trackers you can use include:

FreshBooks

This software is relatively easy to use and offers a variety of features. Their Lite plan is perfect for small businesses with at least 10 people.

Expensify

This expense tracker is great for quickly monitoring receipts and getting financial reports. Businesses can integrate this tool with their accounting software, too.

Certify

Although this tool is a bit more expensive than others, it certainly packs a punch regarding features. Aside from providing an audit trail for your finances, it offers task automation services.

5. Inventory tracker

Some Shopify entrepreneurs sell their products on multiple platforms, making it easier to track inventory with assistance. Fortunately, an inventory tracker can make a business’s load much lighter. Since it automates your inventory tracking, this software can help save you time and money. You can also integrate it with your POS system. 

Some of the best inventory trackers available include:

Cin7

This tracker is excellent for syncing inventory data and stock management. When integrated with other tools, it creates a smooth end-to-end order. It also offers 24/7 support for all plan holders.

Ordoro

This end-to-end inventory tracking tool synchronizes your business’s inventory levels and orders shipping status in real-time. It can also be synced to your POS system.

Fishbowl Inventory

This tool is packed with features that are essential to inventory management. It’s an ideal software for e-commerce entrepreneurs and multiplatform stores. It can also be integrated with accounting tools.

6. Billing software

A billing tool is crucial for your business since it simplifies the billing and payment processes. With the right billing software, you can enjoy various features and plans suitable for your shop. This tool can also help you make invoices quickly and track your expenses and productivity time. 

Some of the most efficient billing and invoicing software in the market include:

Square Invoices

This billing software is perfect for those on a budget who still want high-quality services. It offers a free or affordable plan for creating in-store or online invoices.

Zoho Invoice

Zoho once again appears on the list, featuring its free billing software. This tool is perfect for tracking billable hours, sending estimates, and creating invoices.

FreshBooks

Like Zoho, FreshBooks is another software offering multiple features, including billing services. It’s the easiest to use on the list, boasting a clean and user-friendly interface.

7. Credit score tracker

Software that offers a credit monitoring service can be vital to your business’s financial health. Just as you need to monitor your credit scores, you must also track your business’s credit reports. This number demonstrates your store’s ability to fulfill financial obligations to suppliers and other entities. It can affect your business’s ability to secure favorable terms, contracts, and partnerships. 

Reliable credit score trackers include:

SoFi

This company is excellent for Shopify entrepreneurs who want a reliable, easy-to-use credit score tracker. Their monitoring services are free so that you can enjoy them without financial pressure.

Identity Guard

On top of its credit tracking services, this company also offers identity theft protection. They even provide monitoring services for bank accounts.

Nav

This financial tool is excellent for small businesses that want to be notified of any changes 24/7. The company offers free business credit reports and monitoring services for a fee.

Frequently Asked Questions

What are financial tools?

A financial tool is any instrument or software that can simplify financial management and boost work efficiency. It’s ideal for businesses, including e-commerce shops, to help them with budget planning and everyday business transactions.

Why do I need to use financial tools for my shop?

Most businesses, like yours, aim to establish themselves in the digital world. Since you’re migrating or creating your business online, you should use digital tools designed to help you manage your finances. Maximizing the potential of online financial tools can increase accuracy and make you scale your business quickly. It also helps save time and simplifies finance-related processes.

How can I keep track of my shop’s finances?

Finding and using the right software is the solution you need. Various tools, such as accounting software and budget trackers, can help you monitor and categorize your store’s expenses accordingly. Since many software are available in the market, you can research and determine which ones are most suitable for your shop.

What financial tool is a must for my shop?

Budgeting software is the most essential one. This financial tool can help you allocate funds to specific expenditures and give you insights into where you can limit your spending. It’s a valuable tool since it can encourage you to stay within your means and be accountable for your spending.

To Wrap Things Up

Shopify is the perfect platform for establishing your online store. Its comprehensiveness and versatility also allow you to integrate tools essential to your financial management. By understanding how the platform works and which financial tools fit your store, you can scale your business and watch it succeed digitally.