How Strip Saved 15+ Hours Every Month By Automating Sales Tax With Kintsugi

Founded as the official merchandise store for Stripchat models, Strip specializes in selling exclusive branded apparel and accessories tailored specifically for performers on the platform.

Operating with a unique voucher-based sales model, Strip has quickly become a favorite among models and fans alike, offering a wide range of high-quality, customized merchandise that reflects the vibrant community of Stripchat.

Challenge: Most sales tax compliance platforms are not tailored for voucher-driven business

As Strip expanded its operations, the complexities of managing sales tax compliance became a significant hurdle. Their voucher-based sales model introduced additional challenges, as tax regulations for vouchers, rebates, discounts, and coupons vary widely across jurisdictions. Initially, Strip relied on manual processes to handle sales and use tax compliance, which quickly became unsustainable. This reliance led to many errors, late filings, and a persistent misunderstanding of sales tax laws within the United States.

Strip tested several sales tax compliance platforms in search of a reliable, automated tool that could handle the intricacies of use tax, voucher transactions, and compliance across multiple states. However, these platforms were either too cumbersome or insufficiently tailored to meet their specific needs as a voucher-driven business.

Many lacked the necessary automation capabilities to streamline processes for managing voucher sales tax, calculating deductions, and applying for appropriate exemptions, leaving Strip frustrated and still grappling with compliance challenges.

Solution: Transitioning to Kintsugi that supports Strip's voucher-driven business

Strip's quest for an effective sales tax solution led them to Kintsugi, a platform highly recommended for its comprehensive automation and user-friendly interface. Kintsugi's seamless integration with existing systems, including Shopify, automatic tax filings, and ability to address the unique challenges posed by managing sales tax on voucher transactions, rebates, cash discounts, and coupons made it the perfect fit for Strip.

Kintsugi features Strip loved:

• Kintsugi Intelligence. This proprietary AI-powered tool played a pivotal role in streamlining Kintsugi's operations. By interpreting complex sales tax regulations and automating tasks such as applying deductions, categorizing transactions, and tracking promotional activities like coupons and cash discounts, it significantly improved accuracy and compliance.
• Comprehensive voucher management: Kintsugi effectively handled the complexities of managing sales tax on voucher transactions, rebates, cash discounts, and coupons, ensuring that all promotional activities were accurately accounted for and compliant with local tax laws.
• User-friendly interface: Kintsugi's intuitive design allowed Strip to monitor sales tax liability, access detailed compliance reports, and manage exceptions for exemptions effortlessly.
• Seamless integration: Kintsugi seamlessly integrates with Shopify by automatically syncing transaction data, ensuring accurate sales tax calculations and compliance directly within your existing store workflow.

Impact: Strip saves 15+ hours of sales tax work each month

Implementing Kintsugi transformed Strip's approach to sales tax compliance, enabling sustainable growth by removing administrative burdens. The platform's ability to automate intricate tasks like calculating tax rates, managing nexus requirements, handling duties, and managing tariffs has fundamentally changed how Strip approaches taxation.

This shift gave them peace of mind and confidence as they expanded their business.

• Time Saved: Strip saved over 15+ hours each month by automating sales tax tasks.
• Peace of mind: Kintsugi's advanced automation ensured every tax filing accounted for Strip's voucher-based sales model. From applying correct deductions to ensuring compliance with exemptions
• Confidence: Strip gained confidence that their sales tax compliance was managed reliably, easing concerns over audits and potential penalties.

For Strip, Kintsugi has become an indispensable tool for ensuring streamlined operations. Kintsugi has provided Strip peace of mind, ensuring compliance is no longer a stress point but a streamlined part of their workflow. The platform's scalability also ensures it can grow alongside Strip, adapting to its needs as it expands its market reach.

About Kintsugi

Based in San Francisco and founded in 2022, Kintsugi is dedicated to taking the stress out of sales tax compliance. Our platform automates the entire process, delivering high performance, reliability, and flexibility as your business scales. Top companies like Alchemy Marketing and Cabi use our app.  Sasha Novakovich of Alchemy Cloud just spent three minutes on the platform and understood their sales tax exposure.

We can do the same for you. Sign up or book a demo now.