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Early pay discount

started a topic 6 months ago

I have a few client businesses now who would benefit from a feature in DEAR for sale and/or purchase orders that facilitates an early pay discount.  


For sale orders, it would be great if this process were made automated by calculating the discount amount for a customer paying early, creating the credit note, and offering to apply it to the current customer invoice.


For purchase orders, early pay discounts are offered by suppliers, too.  In this case, it would be great to have the % of the discount automatically calculated and added as a discount line item to the supplier invoice in DEAR.


For example, there is a type of sale order discount offer called 1%/10 Net 30 which is defined here: https://www.investopedia.com/terms/1/1-10net30.asp


For now, for sale orders, we will create a credit note for the discount amount and then apply that credit note as a payment for the invoice when customers pay early.  




For purchase orders, we create a service product in DEAR (e.g., "Early Payment Discount (1%)" in the example below) and use that service item to manually add the service product as a discount amount as an Additional Cost line item, calculating the discount amount based on the invoice amount.  One nice thing in DEAR is that you can do the math in the amount field in DEAR.  See the example in the screenshot below.


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