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How do I set up receivables for a new company?

Fill nine setup screens in order: the company's Account Receivable Setting, payment terms and methods, customer groups, then credit, charges and receipt numbering if the company uses them. The transaction journals and posting setup come from General ledger.

Screen
Accounts Receivable › Setting, Payment, Customer, Credit Area, Cost Element, Tracking Number
Who
Implementation consultant
Takes effect
On save; screens read the settings when they open
Needs first
The company (Company), chart of accounts, posting profiles, transaction journals and taxes (Posting Profile, Transaction Journal, sales tax)

Before you start​

  • The company exists and has its currency and financial year.
  • Accounts exist for customers (receivable), sales, bank and cash, and the posting profile names the receivable account.
  • Transaction journals exist for customer invoices, customer memos and collections.

Steps​

  1. Open Account Receivable Setting (Accounts Receivable › Setting). Create the company's record. Choose the customer tabs, the invoice and collection columns, and the Required Aging Period.
  2. Open Payment Term. Make the terms you sell on: "Net 30", "Cash".
  3. Open Payment Method. One per way of being paid, each with its bank or cash account marked Default.
  4. Open Customer Group. Make the groups, with default term and method, and the registrations each customer category must give.
  5. If you control credit: Credit Rule, then Credit Area for limits shared across companies.
  6. If collections carry deductions: Adjustment Type and Payment fee.
  7. If you charge freight or other charges: Cost Element, Cost Element Group, Auto Cost Elements.
  8. If you issue numbered receipt books: Tracking Number Group and Tracking Number Setup.
  9. Create the customers on Customer In Legal Entity. See How do I create a customer?

Check it worked​

  • A test Customer Invoice fills the customer's term, method and tax zone, shows a due date, and saves.
  • A test Collection lists that invoice.