Apparel & Fashion Accounting

One style. Forty SKUs. Books that keep up.

Apparel multiplies everything: every style becomes a size/color matrix, a quarter of what you sell comes back, and last season's inventory quietly stops being worth what you paid for it. We keep books built for that reality.

Brand owner checking an order while packing apparel parcels

Three ways apparel books go wrong

These are the patterns we see over and over when we review books kept by firms that don’t live in this category.

The SKU Matrix Breaks Simple Inventory

A 20-style line is 400+ SKUs once sizes and colors multiply out. Books that value inventory as one blob can't tell you which styles make money, and can't catch the size runs that are broken. Style-level margin is the number apparel decisions actually run on — and most P&Ls can't produce it.

Returns Are a Fifth of Your Revenue

At 20–30% return rates, the gap between gross and net revenue is enormous — and returns from December sales arrive in January. Without a returns reserve, every peak month is overstated and every post-peak month looks worse than it is. Add damaged returns and final-sale write-offs, and unreserved books are systematically wrong.

Last Season's Inventory at This Season's Cost

Apparel ages. Carrying last season's styles at full cost overstates your inventory and hides the markdown decision you should already be making. Clean obsolescence reserves and markdown accounting tell you what your inventory is actually worth — which is also what a lender or acquirer will insist on knowing.

What changes when the books are built for apparel

  • Inventory and COGS at the style level, not one blended number
  • A returns reserve so peak months are real, not borrowed from January
  • Obsolescence and markdown accounting that reflects what aged styles are worth
  • Landed costs — freight, duties, tariffs — capitalized into inventory, not expensed
  • Channel profitability across DTC, marketplaces, and wholesale
  • One client manager across the books and the tax return, in-house

70%

of other firms' books we audit contain errors

$100M+

tax savings uncovered over 5 years

1

client manager across books and taxes

Want to see what this looks like in practice? Read how an 8-figure jewelry brand got true profit visibility and 10 hours a week back.

Transparent pricing

Accounting plans start at $1,247/month, with Controller and CFO tiers as you scale — real prices, published, no “it depends.” Tax planning and filing are handled in-house by the same team.

We’re not a perfect fit for everyone

  • You're not a private label brand — arbitrage and wholesale don't typically require specialists.
  • No single internal point person who can answer questions in a timely manner.
  • Early stage — almost all our clients are 7–9 figure brands growing intentionally.

Ready To Chat?

Get in touch and learn exactly how we can help simplify your finances.

Schedule A Free Consultation