How to Manage Supplier Contracts in Precoro

This article covers contracts that already exist. To create one, see How to Add a Supplier Contract in Precoro.

TABLE OF CONTENTS

• Find Contracts Using Filters
• View and Edit a Contract
• Link Documents to a Contract
• How Documents Affect the Contract Amount
• Track Contract Spending
• Set Up Contract Email Notifications
• Deactivate a Contract
• FAQ

Find Contracts Using Filters

Go to Supplier Management → Contract Management.

Use the fast filters at the top of the page, or click Filters for more options, including Active and Inactive contracts.

The page also shows a Draft info card for AI-generated contracts that still need review.

You can also filter related documents by contract:

1. Open Filters on the Purchase Orders, Invoices, or Credit Notes page.
2. Select one or more values in the Contract field.
3. Click Filter Results.

View and Edit a Contract

Open a contract from:

• Contract Management: find the contract and open it.
• Supplier Management: open the supplier profile and select a contract from the Active or Inactive section.

Contract cards on the supplier page show key information such as:

• contract number;
• dates;
• amount spent;
• Legal Entity;
• Auto-renewal;
• expiration reminder;
• Contract Agent scanned icon.

Whether you open the contract from Contract Management or the Supplier page, you can view and edit its details on the contract page.

To edit the contract, change the terms you need and click Update. AI Draft contracts created by the Contract Agent open in editing mode with a Confirm button instead.

You can also see related documents or ask the Contract Agent questions about the contract, if it is available for your company.

Link Documents to a Contract

You can link purchase orders, invoices and credit notes to contracts when creating or editing documents. Available contracts appear once you fill in these fields:

• In a purchase order—Supplier and Delivery Date;
• In an invoice—Supplier and Due Date;
• In a credit note—Supplier and Payment Date.

If Multi-Entity Management is enabled, available contracts are also filtered by legal entity and currency.

You will see the contract number and validity period on the document page below the payment details.

To see related documents:

1. Open the contract.
2. Go to the Related Documents tab to see the latest POs, invoices, or credit notes linked to it.

How Documents Affect the Contract Amount

• The amounts spent and available in the contract are recalculated every time the items' total changes in a PO or invoice linked to this contract. The total of items in a document is deducted from the contract amount.
• When a contract is added to a PO and you create a related invoice with the same contract, the amounts spent and available in the contract are recalculated according to invoiced items’ prices, taxes, and discounts specified in the invoice.
• If you have a contract specified in a PO, but you want to invoice items from this order without affecting the contract total, you can remove the contract from the invoice or specify a different contract.
• If you assign a contract to an invoice and add a credit note to it, the CN amount will be added to the contract total and become available for spending again.

Track Contract Spending

The Gross Total column on the Contract Management page shows the contract spending progress. Contracts that exceed their amount are highlighted in red.

You can also open a contract to see its spent and available amounts.

Set Up Contract Email Notifications

Precoro sends contract emails to the users selected in the contract’s Send notification to field. You can also add the supplier’s email there.

Contract End Date Reminder

Choose when users get a reminder in the contract’s Contract End Date Reminder field: 30, 60, 90, 120, 150, or 180 days before the expiration date.

If Auto-renewal is on, the email says the contract will be extended.

Spending Limit Alert

If Gross Contract Amount is set, Precoro notifies recipients when contract spending exceeds the limit.

To turn Contract Emails On or Off:

1. Go to Email Preferences (precoro.us).
2. In the Misc section, select or clear the Expiring Contracts checkbox.

Deactivate a Contract

1. Open the contract.
2. Turn off Active.
3. Click Update.

Use the Active / Inactive filters on the Contract Management page to find deactivated contracts.

FAQ