Liabilities and Redemptions

Learn how to select and accept new tenders, such as gift cards. These tenders can be flagged as liabilities to be redeemed, and new reports will keep track of what is revenue versus what is still owed.

Table of Contents

Liability Accounting

Breakdown of the parts of a transaction that make up what is made and kept for your business. This section covers how to keep track of what is made (Net Revenue), what is still liable (Net Liabilities), and the total given (Total Tenders).

Net Revenue
This is the portion of everything taken in that is kept. Included in Net Revenue are all Sales, as well as negative revenue such as Returns, and Discounts.

Net Liabilities
These are things the business is still on the hook for. For example, taxes on sales, gratuity to employees, or gift cards still to be redeemed by customers in the future.

Total Tenders
The sum of Net Revenue and Net Liabilities yields Total Tenders, the grand total of everything taken in at the register.

Selecting Active Tenders

A tender is anything accepted as payment in-store; whether it’s a check, gift card, or alternative currency, set them in BackOffice and to be accepted at the register. Tender selections save automatically and will appear on the register next time Get Updates are applied or a shift is opened.

  1. Visit 'Settings', then 'Tenders'.
  2. Check the box for any tender being accepted.
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    These tenders are for reporting purposes and do not indicate 3rd party integrations. All “External” tenders are to be done on a separate terminal and are not integrated with Shopkeep.

    Regular vs. Redeemable

    Regular tenders are another way of sorting Total Tenders, seen as an option under ‘More…’ when transactions are run. Like other tenders, they will appear in various BackOffice reports.

    These tenders are sorted differently and do not add to the net revenue as they are labeled liabilities and appear within the net liabilities. When ringing up a sale with a redeemable tender, it will appear alongside sales, but report specifically in the Gift Card Liabilities report in BackOffice.

Create, Sell and Redeem Liabilities

Learn how to create a liability item in BackOffice, how to sell a liability once created and how to redeem a liability once sold.

Create a Liability Item

A new stock item needs to be created and set it as a liability, existing items cannot be changed over.

  1. Click 'Items', 'Item List', then 'Add Item'.
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  2. Add details for your New Stock Item.
  3. Check the box to enable Liability, then choose what kind of liability it is.

    Not seeing a liability tender? Remember to enable it in Tender Settings.

Sell a Liability

In this example, a gift card will be sold as a liability.

  1. On the iPad, ring up the liability item (Gift Card) being purchased.
  2. Tap the customer's tender (Cash, Credit, etc.), NOT the redeemable tender.

    The L on the line item reminds means that it’s a liability.

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  3. Complete the transaction as any other sale.

Redeem a Liability

When a customer is ready to pay, ring up the sale with the tender of their choice.

  1. Add the customer's item like any other sale.
  2. Under 'More...' choose the 'Gift Card' tender.
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Reporting for Liabilities

Since liabilities are considered separate from general revenue, they have separate reporting that allows for keeping track of how much is sold or redeemed.

  1. In BackOffice, click 'Analytics', then 'Gift Card Liabilities'.
  2. Choose a date or date range and tap 'Retrieve'.
  3. Select 'Issued' to see sold liabilities.
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  4. Select 'Redeemed' to see how much has been claimed.
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Liabilities in Context

Liabilities can also be viewed alongside the rest of the sales data by visiting the Analytics Dashboard for an at-a-glance look at overall account data.