A prepayment is made when a supplier receives payment from a buyer before shipping goods or providing services to the buyer per the sales agreement. In Precoro, you can add prepayments to the Purchase Orders.
- In the Purchase Order, you can select a payment term;
- After the PO is approved, Precoro will send an automatic notification that the PO should be prepaid to the user with a 'Payment' role;
- In the POs list, you will see an info-card with a count of POs that could be prepaid;
- The payment status of the PO will change to the 'Prepaid' once the prepayment is added;
- The prepayment will be automatically applied to the next approved Invoice;
- You can cancel a prepayment at any time at the PO level, and it will be reflected in the related invoice too.
Q & A:
- Who can add prepayments? – A user who has access to the PO page and a 'Payment' role;
- When can we add the prepayment? – After the PO is approved and before the PO is fully paid;
- Who can cancel a prepayment? – A user who has access to the PO page and a 'Payment' role;
- Can we cancel a prepayment on the Invoice level? – Yes. But the prepayment will stay in the PO, and you will have to cancel it in the PO manually;
- Can we add multiple prepayments? – Yes;
- Can we add a prepayment even if we selected the 'Postpayment' term in the PO? – Yes;
- In what currency will the prepayment be made? – In the PO currency;
- How to see in the reports the prepaid amount? – You can see the prepaid amount in the custom report by PO.