E-commerce success in Dubai hinges on volume, speed, and real-time data, yet sales through platforms like Amazon, Noon, and Shopify create a nightmare for traditional bookkeeping. High transaction volume, fluctuating foreign currency sales, complex fees, and the critical need for VAT-compliant reporting can quickly lead to manual errors, compliance risk, and inaccurate profitability data. FrankDigit Accounting Services specializes in building a fully automated, multi-channel accounting infrastructure.
We deploy specialized integration tools (A2X, Webgility) to seamlessly sync sales data from your marketplaces into your core GL (Xero or QuickBooks). Our service, founded on Confidentiality, Transparency, and Integrity (CTI), ensures your financials are always accurate, reconciled, and optimized for profitability tracking across your entire online empire.
Marketplace accounting is complex because sellers receive a single Net Payout from the platform (Amazon/Noon/Shopify), which is the result of thousands of transactions minus various deductions: Marketplace Fees, Referral Fees, Fulfillment Fees (FBA), Refunds, and Advertising Spend. Attempting to manually reconcile these lump-sum deposits against gross sales leads to errors, poor data integrity, and unreliable profit reporting.
Our solution focuses on extracting the detailed transaction data to accurately separate Gross Revenue from platform costs, ensuring compliance with UAE VAT laws and providing clear insights into product profitability required for strategic growth.
We integrate your digital storefronts directly with your accounting system, delivering clean data tailored for e-commerce.
| Delieverable | How FrankDigit Delivers |
|---|---|
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Automated Payout Reconciliation |
Implementation of connectors (A2X or equivalent) to automatically post summarized daily/monthly sales, fees, and refunds to match the net deposit in your bank feed. |
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Detailed Fee & Expense Tracking |
Accurate classification of all platform deductions (FBA fees, advertising costs, subscription charges) as separate expense lines in Xero/QuickBooks. |
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E-Commerce VAT Compliance |
Ensuring 5% Output VAT is correctly charged and reported only on UAE sales, and properly accounted for returns/refunds to prevent penalties. |
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Inventory & COGS Management |
Advising on the integration of Inventory Management Systems (IMS) to track stock levels, movements, and accurately calculate Cost of Goods Sold (COGS). |
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Profitability & KPI Reporting |
Generating granular reports that reveal profitability by product line, channel (Amazon/Noon), and country, enabling data-driven marketing spend. |
The two biggest risks for e-commerce sellers in the UAE are VAT compliance and managing inventory value across platforms.
We guide you through the nuanced VAT rules for e-commerce. This includes ensuring your VAT Registration Number (TRN) is correctly registered on Seller Central/Noon, that 5% VAT is applied only to domestic UAE sales, and that zero-rated exports are correctly documented. We eliminate the risk of the seller inadvertently being charged VAT on Amazon/Noon fees due to improper TRN submission.
Mismanagement of inventory valuation (FIFO, LIFO, Weighted Average) directly distorts profitability and Corporate Tax reporting. We implement systems that accurately track stock levels across fulfillment centers (e.g., FBA) and calculate COGS correctly. This ensures your Financial Statements are compliant with IFRS standards and ready for external audit or FTA scrutiny.
We deliver a continuous, hands-off accounting solution that scales with your sales volume.
- Decode (System Mapping): We review your sales channels (Shopify/Amazon/Noon) and payment gateways, selecting and mapping the necessary accounting connector (A2X/Webgility) to your existing Xero/QuickBooks Chart of Accounts.
- Simplify (Data Automation): We configure the chosen connector to pull historical and real-time sales data, ensuring automatic classification of all revenue streams, platform fees, and tax components.
- Automate (Reporting & Advisory): We manage monthly reconciliation, file accurate VAT Returns based on consolidated data, and deliver detailed management reports focused on optimizing your profitability per channel and improving cash flow.
Is your e-commerce growth being slowed by accounting complexity? Gain real-time clarity over your marketplace finances.
📞 Contact FrankDigit Accounting Services today to automate your Marketplace Accounting.