Supplier Balance Transfer – An overview

Introduction

In a company, there are situations when an amount or balance needs to be transferred from one supplier to another or between two different accounts of the same supplier. Such transfers can take place when a supplier goes out of business or when the business of the supplier is taken over by a new person. On take over the supplier may assign his receivables to another supplier. Transfer could also take place to rectify any errors that have occurred due to the wrong posting of invoices in any of a supplier’s multiple control accounts.  

In Ramco Enterprise Series, the transfer of balance from one supplier to another is handled by the “Supplier Balance Transfer” component and the types of balance that can be transferred are payables / prepayments and deposits. This component allows the user to transfer balances from one supplier account to another. Balances in “Payables”, “Prepayments” or “Deposits” accounts can be transferred.

Transfer debit / credit notes will be automatically raised for the transferor / transferee depending on the type of balance, which is being transferred. It is possible to do a partial or a complete transfer of the supplier’s balance. If the balance transfer is partial, it is necessary to specify the break-up of the documents.

Feature Highlights

• Provision to make inter / intra supplier transfer of balances between two control accounts / business units.

• Support for full or partial transfer of balance. In case of partial transfer the constituent documents reference are captured.

• Support for transfer of balance from one currency to another currency.

• Support for both centralized and decentralized invoicing, adjustment, transfer and payment.

List of Activities