Vendor groups

A vendor group is a set of vendors that can be shared by one or more Accounts Payable companies. For example, Company A makes products for both animal and human consumption and Company B makes products for human consumption. You could set up a vendor group to include both the Company A and Company B human consumption divisions and several companies could order products from them.

You can define an unlimited number of vendor groups, but each company can access only one vendor group. When you define vendor groups, consider the reporting requirements and base currencies of your companies.

Vendor balance information can be accessed by company or by vendor group, but not across vendor groups. For example, you can establish vendor groups in one of three ways:

• Multiple companies, one vendor group

• Separate vendor groups, separate companies

• Vendor groups by selected company

Each configuration has its own advantages and considerations.