Contracts & Services
Contracts, Service Objects and Services are required to perform recurring billing.
Customer Contracts
A Customer Contract represents the obligations towards a customer. It is structured similarly to a sales order. The fields in the General fast tab contain information about the Contractor, i.e. the contact person for this contract. The lines contain detailed information about the billing of the components of the contract.
Vendor Contracts
A Vendor Contract maps liabilities to suppliers or manufacturers. It is structured similarly to a purchase order. The fields in the General fast tab contain information about the contract partner, i.e. the supplier's contact person for this contract. The lines contain detailed information about the billing of the components of the contract.
Contract Renewal
Some Contract lines are set to end at a certain date. These Contract lines can be extended with a Contract Renewal Quote. By using the Contract Renewal, a renewal period can be specified and a Sales Quote created subsequently. The Service End Date (in the Service Commitment / Contract line) will be extended once the Sales Quote is turned into a Sales Order and shipped.
Price Update
Regular price updates of contractually agreed, recurring Service Commitments are completely normal in times of subscription models. With DYCE Subscription & Recurring Billing, price updates for contractual Service Commitments can be easily planned and applied.
Contract Deferrals
The system provides a control option that when an invoice is prebilled, the customer-side revenues and vendor-side costs from future months are not yet posted to revenue or expense in the month the invoice is created. In this case, the net invoice amount is not posted to a revenue or expense account, but to an accrual account. This deferrals will later be released to income on a monthly basis.
Service Objects
Service Objects represent a history of products sold to a customer. They contain all information related to the delivered item, such as
Service Commitments in Service Objects
Service Commitments describe the monetary content of agreements with customers and suppliers as well as termination dates. In order for a Service Commitments to be billed recurrently, it must be assigned to a contract.
Cancelling Service Commitments
All contract lines contain information about their validity and termination dates. Thus, they can be terminated before the expiry or termination dates can be changed. If validity and notice periods are not set, the contract lines are valid indefinitely or can be terminated at any time.
Period Calculation
The Period Calculation controls how a period is determined for invoicing. Billing for a period length of one month works smoothly with DYCE Subscription & Recurring Billing. However, if the start of the billing period is within the last three days of a month, the length of the month and the following month are not taken into account.