The GM-X Accounts Receivable subsystem handles cash collections and clearing of customer invoices, credit notes and debit notes.
Cash Collections and Accounts Receivable Clearing
- Fully integrated with the GM-X Invoice subsystem to maintain general ledger account distributions and amounts due from customers in functional currency as well as foreign currency, if applicable
- Supports manual creation of debit notes and details
- Maintains current settlement status of invoices and credit notes initiated in the GM-X Invoice subsystem
- Supports manual creation of debit notes and details
- Maintains current settlement status of debit notes
- Fully integrated with the GM-X General Ledger, Blockchain and Audit subsystems to automatically post invoices, credit notes, debit notes, payments, clearings and write-offs to each fiscal period
- Prepares Customer Account Statements (PDF) which can be sent to customers automatically by email, or printed for mailing
- Maintains average days to pay by customer
- Real-time calculation and display of available customer credit in relation to credit limit
- Option to put customers on hold, and release
- Manages cash sales and customer prepayments, with automated clearing of open customer prepayment balances
- Allows for full or partial receipt of payments against each invoice, and full or partial clearing of credit notes and debit notes
- Allows updating of multiple customer invoices from a single payment
- Option to automatically clear open invoices, credit notes and debit notes on a first-in-first-out (FIFO) basis for partial payments, and payments on account, up to but not exceeding the payment amount
- Option to automatically and partially clear open invoices, credit notes and debit notes on a pro-rata basis for partial payments, and payments on account
- Option to upload cash receipts automatically from Bank Administration Institute standard BAI and BAI2 files provided by lockbox services
- Revaluation of foreign currency invoices at current spot rates of exchange
- Automates retrieval of current spot rates from any standards-compliant currency information service
- Automatic reconciliation of unrealized and realized foreign currency gains and losses upon full or partial receipt of payment
- Automatic reconciliation of accrued output VAT or sales tax liabilities and output VAT or sales tax amounts due to tax authorities
- Online enquiry and summarization of invoices and payments received for a specific customer
Organizational Setup
- Option to specify default balance sheet accounts for trade receivables, customer deposits, value-added taxes (VAT) or sales tax payable and input VAT or sales tax accrued at the company level
- Option to specify balance sheet accounts for inventories and work in process (WIP) by product category
- Option to specify default income and expense accounts for revenue, discounts, allowances, surcharges, expense recovery (including sales/output VAT expense), direct sales commissions and cost of goods sold (COGS) at the company level
- Option to specify income and expense accounts for revenues (goods, use, services, expense recovery and VAT recovery), COGS, and discounts and allowances taken by product category
- Option to specify income or expense accounts for financial discounts offered and taken upon payment by customers at the company level
- Option to specify income or expense accounts for unrealized as well as realized foreign exchange gains and losses, at the company level
Customer Setup
- Maintains customers as organizations or persons in the GM-X Party subsystem
- Maintains the current credit limit for each customer
- Option to create templates having default balance sheet, income and expense account distributions, and assign each template to one or more customers
- Different templates may be assigned to a customer for invoices, credit notes, debit notes, and payments or settlements
- Option to assign each customer to a specific sales organization in the GM-X Party subsystem
- Supports default user-defined terms of trade for each customer, including payment due days and early payment discount days
- Option to assign customers to third party collectors such as commercial banks, lockboxes, payment services or agencies responsible for receiving funds from the customer
- Option to indicate if the third party collector is responsible for preparing and issuing remittance advices or withholding tax certificate documents to the customer, on the company’s behalf
- Option to indicate, for each customer, any asset-based lender to whom accounts receivable owed by the customer are pledged as collateral
- Option to indicate, for each customer, the person or organization which earns sales commissions on sales to the customer, whether or not sales commissions automatically accrue on sales to the customer, and the commission percentage
- For split sales commissions, the organization which earns sales commissions on sales to the customer (such as a sales team) may comprise multiple people or organizations who receive split commissions, and the percentage split that each receives is set up in the GM-X Party subsystem
Tax Setup
- Input VAT and sales tax rates configurable for standard, reduced and zero rates by customer, product category and geographic area
- Option to specify balance sheet accounts for VAT or sales tax payable, withholding tax payable and accrued VAT or sales tax by tax category
- Option to specify balance sheet accounts for income tax withheld by individual customer
- Option to specify income and expense accounts for tax recovery, recoverable tax and final withholding tax by tax category, or by individual customer
- Option to specify each customer’s tax authorities as organizations in the GM-X Party subsystem
- Option to indicate, for each customer, whether output VAT or sales tax becomes due and payable to tax authorities upon issuance or payment of an invoice
- Option to indicate if withholding tax is applicable for each customer and, if so, whether or not it is deemed a final assessment of income tax
Reporting and Analytics
- Extracts Aged Receivables Report to spreadsheet
- Extracts Customer Invoice Report to spreadsheet
- Extracts Receivables Distribution Report to spreadsheet
- Extracts Cash Receipts Report to spreadsheet