Xero integration

With the integration between Xero and tracezilla, you have the option of synchronizing your customers, suppliers, Stock Keeping Units and services between the systems. In addition, you can create invoices in tracezilla, which are synchronized to Xero.

The integration requires that you already have a Xero account set up.

Step 1/7: Connect

1. Click your company name in the upper right corner, and select Company Settings.
2. Click Integrations in the Extensions & Integrations section.
3. Click Xero.
4. Click Connect.
5. Select your organization.
6. Click Save and go to next step.

Step 2/7: Synchronization of partners

In tracezilla, the term “Partners” cover both suppliers (vendors) and customers. A partner can both be a supplier and a customer, and you avoid having two places to keep data up to date. If a partner is both a customer and supplier, make sure the names are identical in Xero to be sure the partner is created as one in tracezilla.

You can assign tags to your partners, and as you can see, step 2/7 is pre-filled with tags ‘Customer’ and ‘Supplier’. That way, you will still get the division you know from Xero.

If you are a new user of tracezilla and already have customers and suppliers created in Xero, you can transfer them from Xero via the integration.

In that case, select Yes in the drop-down menu Pull suppliers and customers from Xero to tracezilla and click Save and go to the next step.

When you create new customers and suppliers in tracezilla going forward, these will automatically be created in Xero when you give the partner the tag ‘Customer’ or ‘Supplier’ (or both).

1. Select a default customer group. New customers created in tracezilla will be synchronized to this group in Reviso.
2. Select a default supplier group. New vendors created in tracezilla will be synchronized to this group in Reviso.
3. Click Save and go to the next step.

Step 3/7: Synchronization of SKUs and services

In tracezilla, a distinction is made between physical products (goods) and non-physical products (services).

A similar division exists in Xero. Goods in Xero are Stock Keeping Units in tracezilla and both systems work with Services.

As a rule of thumb, you can assume that you do inventory management of Stock Keeping Units (SKUs) and services represent more or less financial lines on orders/invoices. Examples of services are shipping costs, consulting hours, tour including tasting, etc.

If you have created your SKUs and services in tracezilla and you would like to transfer them to Xero, select Yes in the first field Create SKUs and Services as Items in XERO.

If you are a new user of tracezilla and have already created your items in Xero and want to transfer them to tracezilla, you must select Yes in the second field Create Items from XERO as SKUs and Services in tracezilla.

Click Save and go to next step.

Step 4/7: Sales

When you invoice your orders in tracezilla, your revenue will be transferred to the accounts connected to the products in Xero.

1. Choose which account the revenue should be transferred to if it is not set up on product level. Newly created SKUs will be synchronized to Xero and use this account by deafult. You can change the account for the product in Xero if relevant.
2. Choose whether invoices created in tracezilla should automatically be synchronized to and completed in Xero.

Before creating the first invoice in tracezilla, remember to set your number series and set up VAT rules.

1. Click Save and go to next step.

Step 5/7: Synchronization of expenses

You can set up your integration so that selected expenses will be transferred from Xero to tracezilla. This is optional. The aim is to make a good cost management by linking costs to specific lots or orders and thereby enable having more exact cost prices.

If you do not choose this to synchronize expenses, tracezilla will calculate your cost prices based on your expected costs. You can read about expected and actual costs here.

If you want to transfer your booked expenses from Xero to tracezilla, you must choose from your posting accounts which category the expenses should have by default.

The category is important for the distribution key in the cost price calculation. Read more here.

This requires that you have enabled Actual Cost Pricing in Extensions. To do so, go to your Company settings and click Extensions under the Extensions & Integrations section. Then enable Actual Cost Pricing.

1. Select the starting date from which the expenses must be pulled.
2. Pick the tracezilla category that should be used for the different accounts in Xero. Leave fields empty if you do not wish to fetch supplier invoices from the account.
3. Click Save and go to next step.

Step 6/7: Inventory Valuation and Adjustment

If you want to transfer the inventory value from tracezilla to Xero, you can choose to use the expected or the actual inventory value.

tracezilla uses the expected value by default. If you want to adjust according to the actual inventory value, Enable Actual cost calculation in Extensions in your company settings.

You can read more about expected and actual costs here.

1. Select Expected or Actual inventory valuation.
2. Select an account for Assets, Inventory.
   
   The inventory value in tracezilla is transferred to the selected account in Xero.
3. Select an account for Contra, COGS & value increase.
4. Click Save and go to next step.

Step 7/7: Enable integration

1. Confirm that you want to enable the integration, by selecting Yes in the drop-down menu.
2. Click Save & Finish.