Supplier Categories
This page describes the Supplier Categories setting in the Purchase Ledger.
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The Supplier Category is a means of classifying and organising Contacts that are Suppliers. By assigning Suppliers of a similar nature to a Supplier Category, you can ensure those Suppliers will use the same Creditor and On Acc. Accounts, saving you the work of having to specify these for each Supplier individually. Defining and assigning Supplier Categories also makes modification easier: if you need to change the Creditor Account, for example, you only need make one change (to the Supplier Category), rather than many (to each of the Suppliers). If necessary you can of course specify these attributes in an individual Supplier record: this will take precedence over the attribute specified in the Supplier Category.
Assigning Suppliers to Supplier Categories can also help with reporting. Many reports in the Purchase Ledger and in the Purchase Orders module allow you to report on Suppliers belonging to a particular Supplier Category.
The Supplier Categories setting is in the Purchase Ledger. To work with Supplier Categories, first use the [Switch Module] button in the Navigation Centre to enter the Purchase Ledger. Then, if you are using Windows or macOS, click the [Settings] button, also in the Navigation Centre, and double-click 'Supplier Categories' in the resulting list. If you are using iOS or Android, select 'Settings' from the Tools menu (with 'wrench' icon) and tap 'Supplier Categories' in the 'Settings' list. The 'Supplier Categories: Browse' window will be opened, listing the Supplier Categories that you have previously entered. To add a new record, select 'New' from the Create menu (Windows/macOS) or + menu (iOS/Android), or double-click or tap an existing record in the list to modify it. When the record is complete, click the [Save] button or tap √ to save changes and then close the window using the close box or by tapping <. Click the close box or tap < if you don't want to save changes.
- Code
- Specify a unique code, by which the Supplier Category can be identified from the Contact screen and elsewhere in Standard ERP.
- Description
- Enter text describing the Supplier Category here.
- The Description will be shown in the 'Paste Special' list that you will use when assigning Supplier Categories to Suppliers and elsewhere, so it should be descriptive enough to make the selection of the correct Supplier Category easy for all users.
- Creditor A/C
- Paste Special
Account register, Nominal Ledger/System module
- If you specify a Creditor Account here, it will be credited whenever you receive a Purchase Invoice from a Supplier that belongs to the Category. This allows you to use a dedicated Creditor Account for Suppliers belonging to a particular Category.
- If you specify a Creditor Account both in a Supplier Category and in the Contact record for a Supplier that belongs to that Category, the Account specified for the Supplier will take precedence. If you do not specify a Creditor Account in a Category or in the Contact record for a Supplier, the Creditor Account specified in the Account Usage P/L setting will be used.
- Note that you can also specify Creditor Accounts in each Customer Category, and you can assign Suppliers to Customer Categories. The Creditor Account in a Customer Category will only be used if you assign the Customer Category to a Supplier and do not also assign a Supplier Category to that Supplier. In a similar manner to that described above, if you specify a Creditor Account both in a Customer Category and in the Contact record for a Supplier that belongs to that Category, the Account specified for the Supplier will take precedence.
- If you cannot save the Supplier Category, it may be because you are using Sub-ledger Checking in the Purchase Ledger and you have not specified that the Account entered here is a Creditor Control Account. To switch on Sub-ledger Checking in the Purchase Ledger, select the Sub-ledger Checking option on the 'Creditors' card of the Account Usage P/L setting. To list the Accounts that are to be treated as Control Accounts, use the Sub-ledger Control Accounts setting in the System module.
- On Acc. A/C
- Paste Special
Account register, Nominal Ledger/System module
- This Account will be used when you can buy on account from a Supplier (i.e. when they allow you to pay before they have issued you with a Purchase Invoice). If you are able to buy on account from a Supplier, tick the On Account check box on the 'Terms' card in their Contact record. When you issue a Prepayment or On Account Payment to a Supplier belonging to this Category, it will be debited to this Account. Subsequently, when you receive the Purchase Invoice and connect it to the Prepayment or On Account Payment, the same Account will be credited in place of the default Creditor Account. Please refer to the On Account Payments and Prepayments page for full details about this process.
- If you specify a Creditor On Acc. A/C in the Contact record for an individual Supplier, it will be used in place of the one entered here. If you do not specify an On Account A/C in the Contact record for a Supplier or for the Category to which it belongs, the On Account A/C specified in the Account Usage P/L setting ('Creditors' card) will be used.
- As with the Creditor Account described above, you can also specify Creditors On Acc. Accounts in each Customer Category, and you can assign Suppliers to Customer Categories. The Creditors On Acc. Account in a Customer Category will only be used if you assign the Customer Category to a Supplier and do not also assign a Supplier Category to that Supplier. If you specify a Creditors On Acc. Account both in a Customer Category and in the Contact record for a Supplier that belongs to that Category, the Account specified for the Supplier will take precedence.
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Settings connected with Customers, Suppliers and Contact Persons
