Payment Terms are conditions for how and when a buyer pays a seller for goods or services. These can include such considerations as early payment credits, down payment requirements, and when payments must be completed. Payment terms can be assigned to customers to ensure payments are taken following your business' standards and regulations. This can be done in company details by going to Sales / Customers.
Table of Contents
Adding Payment Terms
Navigate to Settings / Accounting / Payment Terms.
1. Navigate to Payment Terms and click on the Plus icon to add a new payment term.
2. Go to the Payment Terms section.
a. Name - Enter the name of the payment term.
b. Net Due and Balance Due In/On - Enter the net terms and select from the dropdown when the invoice should be paid by.
3. Go to the Early Payment Credit Rules section - This feature offers credit for customers who pay early.
a. Enter if you would like customers to receive credit if they pay their invoices within a selected time frame.
4. Go to the Down Payment Rules section.
a. Enter the percentage down payment required for order amounts over a value.
b. Enter the percentage down payment required for order amounts under a value.
5. Go to the Document Text section - This is what will show to the customer when this payment method is used.
6. Select the green Save button.
Updating Payment Terms
1. Navigate to Payment Terms and select the term to be updated.
2. Edit all necessary fields as needed.
Note: The system will automatically save updates.
