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E commerce treasury management

509 views 1 replies

CA.Vishal

service

86 Points Posted on 15 July 2015

Dear All,

Presently i am doing a project for an e commerce startup company who would be selling products similar to flipkart, difference being instead of B2C this company looks to cater B2B (retailers) segment.

Beauty of E commerce is sheer volume of transactions, this company is also expecting huge number of transactions and hence bank reconciliation is very important given the fact there are various payment modes and gateways are available.

I am looking for a best practice for the bank reconciliation process in terms of

1 ) what is the apt frequency for the reco to be prepared, daily, once in 2 days .......

2) How to do the recon quickly as we have different settlement cycle for credit card, for net banking, COD etc

3 ) What accounts in tally should be created to ensure control over the whole process.

Appreciate if anyone could throw a detailed insight on the aforesaid matter

Pls feel free to add your suggestions when reverting.

Regards

Vishal

Replies (1)

CA Suri Kota

Assistant Manager @ EY

955 Points Posted on 15 July 2015

Hello Vishal, 1. It depends on the number of transactions you process over a defined period of time. In your scenario taking the basics, better to start with weekly BRS which can be modified once the number catches up & also it can throw light on cash u can have in the next week for operations. 2. You have the option in selected ERPs automating the BRS,even Tally ERP is alos equipped with this option. 3. WRT to maintenance of accounts, u can use any account but the control can be placed at invoice level referencing for any payment or receipt with concerned stock. You would get to know yourself the controls u may require in near futrue as business grows likewise the challenges !!!