How it runs for manufacturers and wholesalers
A LedgerBPO accountant runs our ReconBot workflow per processor and channel: import the payout report, match it to the deposit, post fees, commissions, refunds and reserves on their own lines and log every exception with a cause.
What is payment processor reconciliation?
Payment processor reconciliation is the work of proving that the money a processor or marketplace deposits equals your gross sales less its fees, refunds, chargebacks, reserves and adjustments for the same settlement period. Each payout is broken into its parts and posted so revenue, fees and sales tax are correct and the bank deposit matches to the cent.
What we handle for manufacturers and wholesalers
- Stripe, Square, PayPal and QuickBooks Payments payouts matched to deposits
- Marketplace settlements from Amazon or Faire reconciled with commissions posted
- Card surcharges and convenience fees recorded and reconciled to state rules you set
- Refunds and disputes tied to the original order or invoice
- Clearing accounts per processor netted to zero at each month-end
The KPI that matters here
Every processor and marketplace payout matched to a deposit within 2 business days.
Manufacturing compliance notes
Sales-tax exemption certificates
Resale certificates, manufacturing machinery and equipment exemptions and direct-pay permits each exempt a sale only when a valid certificate is on file at the time of sale or obtained within the state's grace period. We collect certificates at customer setup, store them against the customer record, track expiry dates and produce an exempt-sales report with certificate references for every period. Your preparer or Avalara files the return; we prepare the workings.
Cost of goods sold and inventory valuation
Inventory must be valued on a consistent method, whether FIFO, weighted average or standard cost with variances, and cost of goods sold must include the costs your CPA determines are inventoriable under IRS §471 and, above the gross-receipts threshold, §263A. We apply the method your CPA sets, reconcile the inventory system to the ledger monthly and document every adjustment, so year-end is a review rather than a rebuild.
Landed cost and import duty
Customs duty, tariffs, freight, insurance and brokerage on inbound goods are part of inventory cost and reach expense only when the goods are sold. We allocate these costs to receipts in Cin7, NetSuite or your ERP and post the same allocation in the ledger, so margin by product reflects what the goods actually cost to put on the shelf.
Multi-state nexus for wholesalers
A wholesaler with customers across states may have economic nexus in states where it makes no taxable sales, and still owe registration and returns to report exempt sales. We track sales by ship-to state and flag thresholds so you and your advisor can register where required. We do not give tax advice; we supply the numbers.
Manufacturing software we work in
- QuickBooks Online
- Sage Intacct
- Sage 50
- NetSuite
- Xero
- Bill.com
- Avalara
- Cin7
- Katana
- Fishbowl
- All 50 platforms
More for manufacturers and wholesalers
Other services for manufacturing
Payment processor reconciliation in other industries
Frequently asked questions
Do wholesalers need processor reconciliation if most customers pay by ACH?
Only for the channels that use a processor: an online store, a B2B portal, marketplace sales or card payments on invoices. Those channels produce net payouts that hide fees and commissions and can double count sales if the order and the payout are both booked. If every customer pays by check or ACH, the bank reconciliation service alone is enough.
How do you reconcile marketplace settlements like Amazon or Faire?
Each settlement report is imported and broken into gross sales, refunds, commissions, advertising, shipping charges and reserves, posted to their own accounts, and the net is matched to the bank deposit. This keeps gross sales, sales-tax facilitator amounts and channel cost visible. The payout period rarely aligns with the month, so cut-off accruals are booked at close.
Can you reconcile card surcharges on B2B invoices?
Yes, where you pass a surcharge to customers who pay by card, the surcharge is recorded as a separate income line and reconciled against the processor's fee so you can see whether it covers the cost. Card-network rules cap surcharges, currently at 3%, and several states restrict them; you and your advisor set the policy and we record it.
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