Statement cycle defines the date of month by which Billing collects statistics on financial documents issued for customers and makes a total statement. Statement cycle is associated with a customer class.
Billing allows subdividing entire statement into several sections (up to five), each grouping documents overdue for certain number of days. For example, first part contains total statement on all the documents not overdue as of the statement cycle date, second – on all the documents overdue for less than 10 days, third – from 10 to 20 days, fourth – from 21 to 30 days and fifth – for more than 30. These "sections" we just described are called aging categories in Billing. Depending on the statement format, there is the following information presented in it: Open Documents – lists all open invoices as of statement date; Brought Forward – lists all documents (open and closed) issued after the previous statement.
Changing the statement cycle parameter for the customer class automatically affects all customers within the class.
To add a statement cycle:
- Open System > Settings > More Finance Settings > Statement Cycles. The list of currently available statement cycles appears on the screen (empty by default).
- Click Add New Statement Cycle. The adding new statement cycle form displayed. Fill out the form:
- Type a statement cycle descriptive name into the Name field.
- Select how to define the day of month when statement is issued from the Day of Statement Source group of options:
- Fixed Day of Month. Select this option to specify a particular day of month that cannot be changed later per account. The day of statement is to be entered into the Day of Statement field. It can be changed later for all the customers that belong to a customer class this statement cycle is associated with.
- Per account day (by default first order day). Select this option to set the statement day to the day of month when customer has placed the first order. In case you select this option, the default value can be later changed per account, under an account details > General tab, Balance Information group of settings.
Note: In case the billing type is set to Per Account for the corresponding customer class, the consolidated invoice will be generated along with statement.
- Type a day of month when the statement is to be generated into the Day of statement field.
- Select a statement format in the Statement Format group. Two options are available: Open Documents – the statement lists all documents with non-zero balance as of date of the statement; Brought Forward – the statement shows balance of previous statement and all documents created since previous statement with their original amounts.
- Enter the number of days the documents are considered overdue for into the Aging Category 01 (days), Aging Category 02 (days) or Aging Category 03 (days) fields respectively.
- Click Save to finish creating the statement cycle.
Note: If Daily Billing Process starts to run for too long, we recommend that you break a single statement cycle date into several dates based on different customer classes.