Video Tutorial - QBO


The specifics of QBO inventory is if you turn on inventory tracking for the item and create transactions with this item in QBO, COGS entries will be created by QBO using some previously recorded amounts (presumably average cost) even if global settings are set to not track item quantity. This may cause duplication of COGS as DEAR will also send the COGS entries for the same transaction as QBO.


Intuit suggest creating new items without inventory tracking (this would be obvious if global setting is turned off).


Depending on the volume of your inventory we can suggest delete item with quantity tracking turned on and create new item with EXACTLY THE SAME NAME without tracking.


Before proceeding with the integration, you should note that DEAR Inventory supports Quickbooks Online versions Essentials and Plus.  It does not support Quickbooks Desktop, Quickbooks Online SimpleStart, or QBOE, which is Quickbooks Online Edition.

  

If you have recently updated from a legacy product or you're unsure of the version of Quickbooks you operate, you should get in contact with DEAR Systems by emailing support@dearsystems.com.  

You should also note the product quantity tracking will not be updated from DEAR Inventory to Quickbooks Online.

  

Once DEAR Inventory and Quickbooks Online are connected, DEAR Inventory will become the central point of all inventory management within your business.  This means that all inventory-related purchases, sales, and manufacturing will be performed in DEAR Inventory and then synchronised over to Quickbooks Online.

  

DEAR Inventory will automatically post journal entries based on the processed transactions and will require the Chart of Accounts to be imported from Quickbooks Online.

 

Before commencing the integration process, a number of accounts will have to be created in Quickbooks Online. These accounts are Accounts Receivable, Accounts Payable, Inventory, Supplies and Materials - COGS, Revenue Account, and Sales Tax Payable. 

 

To add a new account to the Chart of Accounts, you will need to navigate to your company and then select Chart of Accounts. The Chart of Accounts will be loaded based on the industry that you specified when initially setting up Quickbooks Online and you may find that some of the accounts may already be present. You just need to make sure that you enter the rest of the required accounts.




To add a new account click the New button, select the category that the new account would belong to, and then select the specific account to be added.  You will then need to click Save.  

Once you have added all the relevant accounts, you're ready to begin the integration to DEAR Inventory.

 

You will need to navigate to the Apps module and find DEAR Inventory in the list, click Learn More, and when given the option, click Try for Free.  You’ll be required to either create a new DEAR Inventory account or select an existing account if it was previously created.

  

Once your DEAR Inventory account is set up, you'll be able to locate the Quickbooks Online Integration page by navigating to the Integration module and selecting Quickbooks Online.


The Quickbooks Online Integration page will contain the details of the integration in the page header and it explains the flow of data between DEAR Inventory and Quickbooks Online.




So the Chart of Accounts will come from Quickbooks and it will be as Read-Only format in DEAR Inventory.


The Tax Rules will also be created in Quickbooks Online and then synchronised over to DEAR.  Any changes in the tax rules in Quickbooks will be synchronised over to DEAR Inventory. 

 

Payment Terms will need to be created in Quickbooks and then synchronised over to DEAR again.

  

The vendors and suppliers can be created either in Quickbooks or created within DEAR Inventory and these can be synchronised either way.

  

The same applies to customers.  They can be created in Quickbooks Online and also created in DEAR Inventory and then synchronised between the two systems.

  

The same applies to products or items.

  

Purchase Orders will need to be created in DEAR Inventory and optionally sent to Quickbooks Online.  


The same applies to Bills or Purchase Invoices.  These will need to be created in DEAR Inventory and synchronised over to Quickbooks Online.  


The Credit Notes, or Purchase Credit Notes need to be created in DEAR Inventory and then synchronised over to Quickbooks.

  

The bill payments will need to be created in Quickbooks Online and then synchronised over to DEAR Inventory. 

 

Sale quotes or estimates can be optionally sent from DEAR to Quickbooks.  


Sale invoices will need to be created in DEAR Inventory and be exported to Quickbooks.

 

Credit Memos or Sale Credit Notes will need to be created in DEAR Inventory and then exported to Quickbooks.

  

Payments can only be created in Quickbooks and then sent to DEAR Inventory. 




Within the Quickbooks Online Integration page, you are able to control whether your integration is enabled or disabled. You can authorise your Quickbooks Online connection. You can also choose whether to export purchase orders and sale quotes to Quickbooks Online.

  

To complete your DEAR Inventory setup, you will need to navigate to the dashboard and here you will also need to ensure that your Account Mapping, Suppliers, Products, and Customers are completed.