To assign a QBO category to an inventory item in SalesPad Cloud, name the item so that the category is separated from the item name by a colon. For example, on integration, QBO will interpret the inventory item Sweater: Rag Knit as belonging to the Sweater category (the item itself is simply Rag Knit).
If you create an inventory item in SalesPad Cloud where the category and the item itself are separated by a dash (Sweater - Rag Knit), QBO will see this as only an inventory item, not an inventory item within a category.