Common features

Financial business partner groups are used to establish the link between the accounts payable and accounts receivable on the one hand and the General Ledger on the other hand. For each business partner group you must define a set of ledger accounts and dimensions to which the transactions are posted.

Business practices in Japan, Spain, Italy, and other countries require that different types of receivables and payables are posted to different control accounts. Multiple control accounts for financial business partner groups allow you to post real trade transactions and other purchase/sales related transactions to different control accounts.

You can use the receipts against shipments functionality to generate or enter payment transactions and receipt transactions in Cash Management based on shipment/order information and to maintain the balances by shipment/order.

If the customer returns part of the goods, or if you create invoice corrections, you or your business partner can create a credit note to correct the amount payable for an invoice. If you automatically process the invoices, LN automatically generates credit notes and assigns credit notes to invoices.

Trade notes are legally accepted payment instruments such as bank drafts, checks, promissory notes, and bills of exchange. Trade notes can be used instead of cash payments. As trade notes are negotiable they can also be used as a credit instrument, for example, for discounting and endorsing. Trade notes can exist on paper and on magnetic supports, according to local business practices and banking standards.

LN supports factoring of your outstanding receivables as well as payment of purchase invoices to factors used by your suppliers.