Frappe Technologies

India

Khara Kapas
Integrating Shopify with ERPNext for end-to-end order management, inventory and accounting

About

Khara Kapas

Khara Kapas is an Indian fashion label whose name states its premise - khara meaning pure, kapas meaning cotton. Founded by creative director Shilpi Yadav, the brand designs and manufactures handcrafted clothing in pure Indian fabrics, with prints that begin as original watercolour paintings before being translated onto cloth.

Apps implemented

ERPNext
Insights
Cloud

Industry

Textile Manufacturing

Help people to use our tools

We believe our tools like ERPNext can help organizations reduce waste and complexity. Frappe + ERPNext has the potential to be a “full stack” replacement for not only ERP (SAP/Oracle) but also the entire enterprise stack (Java/.NET). With this scope, we should help organizations by providing products and services to help them manage their technology platforms.

Why ERPNext over SAP B1 / Oracle

100% FOSS

Customizable

Future-ready

Challenges

  • Outgrowing Shopify: Khara Kapas ran on Shopify alone for most of its growth, and the storefront had become the system of record for a business it was no longer built to support.
  • Tax: With 16,000+ items and GST varying by garment value and fabric, tax rules were set and corrected by hand, and any error only surfaced at return filing.
  • B2B and wholesale: Shopify is built for B2C, so retail-partner orders had no proper home, freight couldn't be invoiced with GST correctly, and orders went to fulfilment without approval.
  • Payment reconciliation: Matching PayU and Razorpay settlements to invoices was manual every cycle, with no reliable view of what had been paid.
  • Visibility: Design, manufacturing, stock, procurement, D2C and wholesale sales, and accounting all lived in different places, with no single view to plan against.
  • Retail stores: New stores in Mumbai and Delhi needed a simple interface for in-store staff to create sales invoices quickly.

Benefits

  • Platform & infrastructure: Upgraded ERPNext from v13 to v14 to v15 in two years, moved it from a self-hosted server to Frappe Cloud, and made ERPNext (not Shopify) the system of record.
  • Tax on sales orders: The Shopify integration now applies the right Item Tax Template from each item's HSN code, so GST is calculated in ERPNext with no manual upkeep across 16,000+ items.
  • Freight: Shipping charges now flow into ERPNext sales orders with GST applied, keeping freight revenue inside the tax logic.
  • Payment reconciliation: PayU and Razorpay connect directly to ERPNext, and scheduled jobs match invoices to payments by UTR and payment ID, so the accounts team always knows what's settled.
  • Operations: Sales order approvals, B2B orders alongside D2C, and custom reports, print formats and Frappe apps built around how the team works.
  • Outcome: One platform for design, manufacturing, stock, purchase, sales and accounting, with Frappe Cloud making upgrades routine.

Impact

Successful on-time ERPNext go-live

Increased sales order to cash

Increased inventory turnover

  • Tax upkeep: Manual tax maintenance across 16,000+ items is gone, down from 5 hours a week to zero, with GST derived automatically from HSN codes.
  • Payment reconciliation: Runs automatically against PayU and Razorpay settlements, saving the accounts team about 10 hours a week.
  • Order-to-cash: Cycle shortened by 25%.
  • Inventory turnover: Improved by 50%.
  • Adoption: 25 users on ERPNext across sales, purchase, stock, accounting, manufacturing and the Shopify integration, all on Frappe Cloud.
Integrating Shopify with ERPNext solved a lot of our problems, particularly for inventory and accounting. Every order is now accounted for and with payment gateway integration, my team does not need to spend time on reconciling payments against invoices.
Shilpi yadav

 · 

Founder

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