NetSuite Solution: Intercompany Vendor Bill Management

Intercompany Vendor Bill Management

As your NetSuite transformation partner, The Vested Group provides custom solutions to manage intercompany transactions seamlessly. For over a decade, we've been helping our business-to-business clients access the right software to streamline operations.

Key Features

With NetSuite Intercompany Vendor Bill Management solution, your organization can experience greater automation capabilities. Along with providing a new custom field called “I/C Subsidiary” that's designed to capture the subsidiary at the line level of the vendor bill and vendor bill credit transactions, this solution offers several features designed to benefit your organization:

Compatibility with expense and item line types
Automatic creation of intercompany journal entries whenever the vendor bill approval status is “approved”
Increased drill-down and audit capabilities because Journals are linked on the line level of the vendor bill/ vendor credit transaction
A built-in currency conversion for multi-currency subsidiaries
Automated validation of department class and location

How to Create Intercompany Journal Entries in NetSuite

An intercompany journal entry is a type of specialized journal that records debits and credits, which are then posted to ledger accounts for transactions between subsidiaries. These entries allow you to take advantage of more advanced features, such as using the Auto Balance functionality and defining multiple receiving subsidiaries.

If you want to create an intercompany journal entry to record debits and credits, here's an overview of the process:

Create the entry: Go to Transactions > Financial > Make Intercompany Journal Entries then select the initiating subsidiary. The first line of the journal entry should post to that subsidiary.
Input details: Next, complete the Entry No., Date and Memo fields. Select the To Subsidiary field and check that all lines correspond to the selected subsidiaries. Then, add the amounts in either the Debit or Credit fields.
Create currency and exchange rate: Even though the currency will be listed as the base currency of the initiating subsidiary, it can be changed to the base currency of the subsidiary. Make sure to enter the correct transaction's currency rate.
Approve the journal entry: You may need to select the Approved box. If you're required to, make sure the total debits and credits balance by subsidiary. If these entries don't balance, you won't be able to save it.
Attach supporting documents: Subtabs such as User Notes, Communication and Files can be used to attach any supporting notes or files. Once you've attached the documents, click Save.

Overcome Transaction Challenges With Intercompany Vendor Bill Management

Managing intercompany vendor bills can be a complex process. You may face a variety of challenges, ranging from currency conversion issues to intercompany pricing disputes or delayed approvals.

With the automated intercompany management feature from NetSuite, you'll be better prepared to face and overcome these challenges. Incorporating vendor bill management into your business practices will improve your overall operational efficiency, reducing the time it takes to manage intercompany transactions. Because there is enhanced visibility with intercompany transactions, your business will experience greater transparency and reporting while being better prepared to make strategic decisions.

Discover How Intercompany Vendor Bill Management Can Enhance Your Business Practices

Whether you're interested in learning more about NetSuite solutions or viewing a demo on how to create an entry for intercompany invoices, The Vested Group has you covered. As a NetSuite partner, we are here to walk you through the process so you can manage intercompany transactions and automate the allocation of expense or item lines to multiple subsidiaries.

We also offer everything from comprehensive consulting to support so you are covered every step of the way. Reach out today by filling out our contact form.