Everything you need to know your cost of goods sold
Landara costs every Shopify order first-in, first-out (FIFO), or by moving average, and produces a ready-to-post COGS journal for Xero or QuickBooks. Import your stock? Landed cost is the accuracy engine: freight and duty land into every unit before it hits your COGS.
Three steps to accurate cost of goods sold
Connect your store, cost every order FIFO, and hand your bookkeeper a ready-to-post journal
Connect
Connect Shopify once. Landara reads your orders, fulfilments, and stock movements (never customer data) and starts costing straight away.
- Shopify sync
- Stock receipts
- No spreadsheets
Cost
Every delivery of stock keeps its own cost, and every sale draws down the oldest first. Choose perpetual FIFO or moving average.
- Perpetual FIFO
- Moving average
- Landed-cost accurate
Post
Get a clean period COGS figure and a Dr COGS / Cr Inventory journal. Landara posts it to Xero or QuickBooks for you when you choose, or hands you a CSV. You decide when it posts.
- COGS journal
- Xero & QuickBooks
- Posts on your command
First-in, first-out cost of goods sold, kept as a ledger
A FIFO report recalculates a number. A FIFO ledger keeps the cost of every delivery of stock and the trail behind every sale, which is what your accountant can sign.
A cost for every delivery
Every receipt of stock keeps its own dated cost, which Landara calls a cost layer. Shopify's single Cost per item gets overwritten; a layer does not.
Oldest first, as orders ship
Each sale draws down the oldest layer first. Moving average is there too, if that is the basis your accountant works from.
Two costing bases
Cost at sale or cost at fulfilment. They are two views of the same COGS and are never added together.
A ledger with no delete button
A correction is a reversing movement, never a deletion, so the audit trail behind a period you have posted stays intact.
Corrections, not re-posts
Change a cost after its period is posted and Landara prepares a correcting journal, instead of quietly rewriting a month that has closed.
Cost per item, written back
Push the real unit cost back to Shopify's Cost per item, so Shopify's own reports stop running on a number typed once.
A COGS journal posted to your accounting software on your command
Landara produces a Dr COGS / Cr Inventory journal and posts it to Xero or QuickBooks for you when you choose, or hands you a CSV. Import your stock? Publish the original freight bills too. Nothing hits your ledger until you say so; you control the timing.
Xero
- Post the Dr COGS / Cr Inventory journal on your command (or export CSV)
- Create Bills from extracted freight invoices
- Attach original PDF to each bill
- Map cost categories to your chart of accounts
QuickBooks Online
- Post the Dr COGS / Cr Inventory journal on your command (or export CSV)
- Create Bills from extracted invoices
- Attach source documents
- Account mapping for categorization
Other Export Options
Landed cost: the accuracy engine behind your COGS
Your COGS is only as good as your cost. Allocate freight, duty, and other costs across your products, then feed that true landed cost straight into your FIFO cost layers.
By Value
Costs distributed proportionally based on line item value. Best for duty (calculated on value) and insurance.
Example
$1,000 freight across $10,000 order = 10% of freight per dollar of product
By Quantity
Equal cost per unit regardless of value. Best for similar-sized items or simple scenarios.
Example
$1,000 freight across 1,000 units = $1.00 per unit
By Weight
Costs distributed proportionally based on line item weight. Best for freight when weight drives cost.
Example
Heavy items absorb more freight cost than light items
By Volume
Costs distributed proportionally based on cubic volume. Best for bulky, lightweight items.
Example
Bulky items absorb more freight cost even if light
See exactly how costs break down per product
Landed Cost Breakdown: Order #PO-2024-156
| Product | Unit Cost | Freight | Duty | Other | Landed Cost | Markup |
|---|---|---|---|---|---|---|
| Widget Pro X100 | $12.50 | $1.87 | $0.63 | $0.24 | $15.24 | +22% |
| Gadget Mini S50 | $8.00 | $1.20 | $0.40 | $0.15 | $9.75 | +22% |
| Component A-200 | $25.00 | $3.75 | $1.25 | $0.48 | $30.48 | +22% |
Freight and duty documents, however they arrive
If you import your stock, the freight and customs bills are what make your COGS accurate. Upload them as PDFs or photos, and Landara reads them into the shipment they belong to.
PDF Upload
Drag and drop freight invoices, customs documents, and purchase orders. Supports multi-page documents.
Email Forwarding
Forward invoices to your unique Landara inbox. Documents are automatically processed and ready for review.
Mobile Photo Capture
Snap a photo of paper invoices with your phone. AI handles skew correction and text extraction.
Bulk Upload
Process multiple documents at once. Perfect for catching up on a backlog or end-of-month reconciliation.
Format Support
PDF, PNG, JPG: upload documents in the common formats. We handle the rest.
Processing Speed
Most documents processed in under 10 seconds. Complex multi-page invoices may take slightly longer.
Intelligent document understanding
Our AI doesn't just OCR text. It understands the structure of freight invoices, customs bills, and purchase orders.
Automatic Cost Categorization
AI identifies and categorizes costs: freight, duty, insurance, clearance, handling. No manual sorting required.
Line Item Extraction
Every line item pulled out with description, amount, and suggested category. Review and confirm in seconds.
Confidence Scoring
Each extracted field shows a confidence percentage. Low-confidence items are flagged for your review.
Multilingual Support
Documents in any language: German, Maltese, Chinese, Arabic, Spanish, and more. AI extracts data regardless of language.
Currency Detection
Automatically detects USD, AUD, EUR, GBP, and other currencies. Multi-currency support included.
Reference Matching
Container numbers, shipment references, and PO numbers are extracted to help match documents to shipments.
Vendor
Pacific Freight Solutions
Invoice #
INV-2024-0847
Date
January 15, 2025
Line Items
Ocean Freight - 40ft Container
FreightTerminal Handling Charge
HandlingCustoms Clearance
ClearanceCargo Insurance
InsuranceBuilt for the month-end, not the demo
Details matter when your accountant signs the number. These are the parts that make the rest hold up.
Stocktakes & barcode scanning
Count physical stock (by hand or with a barcode scanner), review the variance, and apply it straight to COGS. Optionally push corrected counts back to Shopify. The stocktake Stocky used to do (COGS Growth and up).
Multi-Invoice Shipments
Link multiple freight invoices to a single PO. Customs broker bill + freight forwarder invoice? No problem.
Calculation History
Every calculation saved with full audit trail. Re-run, duplicate, or reference past calculations anytime.
Data Security
Your documents are encrypted at rest and in transit. GDPR compliant. Your data is never used to train AI.
Team Access
Invite your bookkeeper or warehouse staff. Flat, seatless pricing. COGS plans include unlimited team members.
Cost Visibility
See landed cost breakdown by product, by shipment, by supplier. Spot trends and outliers.
“Landara has made it much easier to keep track of my actual product costs. I really like that it takes things like shipping and duties into account instead of just showing the basic cost. Simple app, easy to use, and I’m already getting a much clearer idea of my real margins.”
“I installed Landara because I was getting tired of guessing what my inventory was actually costing me. What I liked most was being able to see the product cost together with things like shipping and duties, I've been trying to keep a closer eye on my margins, so having those costs in one place has made things much easier for me. It didn't take me long to get setup either, which was a nice bonus.”
“I honestly didn’t expect Landara to make this part of my store that much easier. I installed it mainly to get a better handle on my actual product costs, and I was pleasantly surprised by how everything comes together. I’m still exploring it, but so far it’s been really useful and I’m impressed with how it works.”
“I've just started using Landara, and so far I'm impressed with how it handles landed costs. I especially like being able to account for things like freight and duty instead of treating the supplier price as the whole cost. Still exploring the app, but it already looks like it could save me a lot of spreadsheet work.”
Ready to know your real cost of goods sold?
Connect Shopify and get accurate FIFO COGS and a ready-to-post journal in minutes. Start free. No credit card required. How it works for Shopify stores.