Unbundle a bundled product in QuickBooks Online

QuickBooks Online (QBO) may not have a UOM (Unit of Measure) feature; a ‘1’ quantity could represent 1 kg, pcs, roll, ctn, etc. The design of QuickBooks Online and QuickBooks Desktop is different; those features you see or use on the Desktop may not be available in the Online version. For instance, the QuickBooks Desktop has UOM and assembly features, but Online doesn’t. However, you could identify an item’s UOM [for the customer] in QuickBooks Online by indicating it in the product description—for example, Product ABC (per kg). Although it is not ideal, it is still ‘workable’ if you do not have many products; you may consider getting a third-party add-on app for inventory to work with QuickBooks Online.

Unbundle

The process of unbundling a product in QuickBooks Online is straightforward. If you occasionally purchase a bundled product and want to unbundle it, you can use an Expense, Enter Bill, or Cheque transaction to convert. For instance, if you typically buy products P100 at $10 each and P200 at $20 each, the vendor now offers P821 at $180 each, including 10 of P100 and 5 of P200, along with a $20 discount.

You record the transaction as a Bill and in the item section of QuickBooks Online:

As shown in the Bill:
Row 1: P821 with ‘1’ quantity and unit price of $180.

Reduce [remove] the quantity of P821:
Row 2: P821 with ‘-1’ quantity and unit price of -$180.

The quantity will be zero, and the gross Bill will be $0.00; then starts the breakdown (with a 10% discount):
Row 3: P100 with ’10’ quantity and unit price of $9; totals $90.
Row 4: P200 with ‘5’ quantity and unit price of $18; totals $90.

QuickBooks online unbundle product

After all the conversions between products, the total amount you owe the vendor, the outstanding Bill, remains at $180.

Since recording the conversion can be tedious, it’s crucial to understand the potential benefits of using a suitable inventory add-on, particularly if you have many products. This can significantly streamline your processes and enhance your inventory management efficiency.

Discover more from Solarsys

Subscribe now to keep reading and get access to the full archive.

Continue reading