Settle, Repay/Unfactor Factored Invoices (tfcmg6200m000)

If you use factoring, you can use this session to:

  • Settle the factored invoice.
  • Repay the factor.
  • Unfactor invoices.

You can settle the factored invoice, if the pay-by business partner has paid to the factor and there is no amount pending. If factoring is with recourse, LN reverses the entries that create a provision to repay the factor, which were made to the Contingent Liability for Factored Invoices ledger account when you sent the invoices to the factor in the Send Documents to Factor (tfacr2212m000) session.

You must repay the factor if the pay-by business partner fails to pay to the factor and the factor approaches your company to repay the amount. In this case, LN creates a credit note for the amount due to the factor. This amount is the amount paid by the factor on the unpaid invoices plus the factoring commission. If the Create debit notes while repaying check box in the CMG Parameters (tfcmg0100s000) session is selected, LN creates a debit note for the original pay-by business partner. If the check box is cleared, LN reopens the original invoice.

If you unfactor invoices, LN replaces the factor with the original pay-by business partner. You can unfactor invoices that are factored with recourse and without recourse. For factoring with recourse, LN reverses the entries which were made to the Contingent Liability for Factored Invoices ledger account. If any receipts were already registered for the factored invoice, LN creates a credit note to repay the amount to the factor.

Invoices that were factored without recourse can be unfactored only if no amount was received on them. In this case, the original invoices are reopened and the discounts and other deductions that were posted at the time of sending the invoice to the factor are reversed. The invoice created in the name of the factor is also closed.

For details about the financial postings for these transactions, refer to:

  • Factoring with recourse
  • Factoring without recourse
  • Factoring - receipts

To view and refine the selection before you settle or repay the documents to the factor, select the Select Specific Invoices check box and then click Specific Invoices. The Settle,Repay/Unfactor Specific Invoices (tfcmg6100m000) session starts.

Field Information

Factor

The factor to which you sent the invoices. The factor must be defined as a pay-by business partner.

Factor

The factor to which you sent the invoices.

Select Specific Invoices

To view and refine the invoice selection, select this check box. You can then click Specific Invoices to start the Settle,Repay/Unfactor Specific Invoices (tfcmg6100m000) session.

Original Pay-by Business Partner

The From and To fields define a range of: pay-by business partners for whom you want to settle the invoice or repay the factor.

Original Pay-by BP

The From and To fields define a range of: pay-by business partners for whom you want to settle the invoice or repay the factor.

Transaction Type

The From and To fields define a range of: transaction types for which you want to settle the invoice or repay the factor.

Transaction Type

The From and To fields define a range of: transaction types for which you want to settle the invoice or repay the factor.

Document

The From and To fields define a range of: documents which you want to settle or to repay to the factor.

Document

The From and To fields define a range of: documents which you want to settle or to repay to the factor.

Repay/Unfactor

To repay any receipts against a factored invoice to the factor, select this check box. LN automatically creates a credit note to repay the amount to the factor.

Settle/Unfactor Recourse Invoices

The transaction type for the settlement transactions of factored invoices with recourse that you defined in the CMG Parameters (tfcmg0100s000) session.

Settle/Unfactor Recourse Invoices

The series to be used for the transactions to be created to settle the invoices.

Re-open/Unfactor Invoices

The transaction type for reopened invoices, which you defined in the CMG Parameters (tfcmg0100s000) session.

Re-open Invoices

The series to be used for the transactions to be created to reopen the invoices.

Due Date

The due date of the debit note, if you selected the Create debit notes while repaying check box in the CMG Parameters (tfcmg0100s000) session.

Document Date

The document date of the transactions to be created.

Fiscal Period

The fiscal year of the transactions to be created.

Period Separator

The fiscal period of the transactions to be created.

Fiscal Period

The fiscal period of the transactions to be created.

Tax Period

The tax year of the transactions to be created.

Tax Period

The tax period of the transactions to be created.

Reporting Period

The year of the reporting period of the transactions to be created.

Reporting Period

The reporting period of the transactions to be created.

Batch

The batch number that LN generates for the batch.

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