Introduction: A/P Vendor Master (11-30)

Overview

This selection is used to set up and maintain your vendor information. The screen consists of four separate tabs that contain all of the information that is needed to process invoices for a vendor, produce Accounts Payable checks, and accumulate important statistics. It also is used to specify some of the field pre-prompts for Purchase Order Entry (04-01).

Vendor Codes

Whether you are purchasing inventory, office supplies, rent, or electric power, special attention should be given to the vendor codes that your company creates.

The following are recommendations for setting up your vendor codes:

First Three Characters
The first three digits are often used to readily identify the manufacturer or other vendor, making it easier to enter purchase orders and invoices.

For example, if you purchase from General Electric Company, the first three digits of your vendor code might be ‘GEC.’ Or, if you purchase your electricity from Duke Energy, the first three digits of your vendor code might be ‘DKE.’

Fourth Character
The fourth character is used for a variety of purposes, depending on your company’s specific needs. Some businesses choose to use the fourth character to:

  • Identify geographical receiving locations
  • Set up various pay locations for one vendor
  • Indicate that this is a Floor Plan Vendor
  • Indicate Vendor pay tolerance (how promptly you must pay)
  • Indicate which corporation a vendor belongs to if your company is running multiple corporations on one directory

Fifth Character
The fifth character can be used to differentiate two separate vendor codes for the same vendor.

For example, if you order parts as well as regular merchandise from the same vendor and need to have them billed separately, you can set up a vendor for each, using the same first four characters, with the fifth representing a ‘P’ for parts and an ‘M’ for merchandise.

IMPORTANT: If you are using Automatic Special Order or Service Department Automation, the 5-character vendor code should also be used as the brand code.

One Time Payment Vendor

If you are making a one-time payment to a vendor, you do not need to set up a dedicated account for the vendor through this selection.

To use this feature, set up a single vendor with “***” or “$$$” as the first three characters of the vendor code. The “***” and “$$$” designate the account as a one-time payment vendor and gives you flexibility to assign any particular character to the fourth and fifth digit. This is useful for companies with multi-corporations on one directory that want to have one-time payments separated by corporation.

Special Notes

  • A Vendor Master record can be deleted through this selection if the following criteria are met:
    • the A/P balance for the vendor is zero
    • there are no transactions on file
    • there are no open purchase orders for the vendor
    • there are no invoices that have not been updated
  • A listing of your company’s vendors can be printed through the Vendor Master Listing selection (11-23).
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