Sales Order
A Sales Order serves as confirmation of an order placed by your customer.
Typically, it represents a legally binding contract with your customer. Once your customer confirms the Quotation, you can proceed to convert it into a Sales Order.
To access Sales Order, go to:
Home > Selling > Sales > Sales Order
1. Prerequisites
Before creating and using a Sales Order, it is advised that you create the following first:
2. How to create a Sales Order
- Go to the Sales Order list, click on New.
- Select the Customer.
- Set the ‘Delivery Date’ – applied to the whole order.
- With Order Type, you can set whether it’s a Sales order, Maintenance order, or from the online Shopping Cart of your website. By default, this value is set to “Sales”.
- In the “Customer’s Purchase Order” you can enter the Customers Purchase Order No. or other details which may be useful as a reference.
- Enter the items and quantities to be delivered in the Item table. If Item Prices are set for the items, the Rate field will be populated automatically. If not, enter the item Rate manually. You can also overwrite the auto-populated Item Rate in case you want to change that value.
- Click “Save” to save a draft of the Sales Order.
- “Submit” to submit the Sales Order to the System.
2.1 Other ways to create a Sales Order
You can also create a Sales Order from a submitted Quotation via the Create button on the top right.
Or you can create a new Sales Order and pull details from a Quotation.
To allow for per-Customer, per-Item Pricing Rules, (“Customer A” pays $1.00 for “Item 1” but “Customer B” pays $1.25 for “Item 1”), there’s a check box called ‘Allow User to Edit Price List Rate in Transaction’ in Selling Settings. This enables saving the specific item price per customer when you change a price in the Sales Order.
3. Features
3.1 Currency and Price List
You have the option to specify the currency for sending the quotation/sales order. If you designate a Pricing List, the item prices will be retrieved from that list.
Ticking on ‘Ignore Pricing Rule’ will ignore the Pricing Rules set in Accounts > Pricing Rule.
Read about Price Lists and Multi-Currency Transactions to know more.
3.1 Set Source Warehouse
If you possess identical stock stored in various warehouses, selecting a warehouse here will result in all items from the item table being retrieved from this specified warehouse. It’s essential to ensure that there is available stock in this designated “source warehouse.”
Note: This option will override the ‘Default Warehouse’ you’ve set in the Item master.
3.2 The Items Table
- Delivery Date for Each Item: If multiple items are present and a delivery date is entered in the first row, it will be automatically copied to other rows where it is blank. If not set globally at the top of the Sales Order, you’ll need to configure these individually.
- A Sales Order reveals the billed amount, valuation rate, and gross profit within the items table when expanding a row by clicking on the inverted triangle.Additionally, you can incorporate items into the Items table by scanning their barcodes if you have a barcode scanner. Refer to the documentation on tracking items using barcodes for more information.
- Delivery Warehouse: This designates the warehouse from which the stock will be retrieved for delivery to your customer.
- Drop Ship: This refers to a scenario in which you do not maintain items in stock in your own warehouse but instead deliver items directly to a customer from a distributor. To activate drop shipping for an item, select the ‘Supplier delivers to Customer’ option. Upon selecting this, the Delivery Warehouse option will disappear since you are not shipping the item. Remember to designate your supplier in the ‘Supplier’ field.Furthermore, if you generate a purchase order from this sales order, it will be created for the supplier chosen here, and only items valid for drop shipping will be included.
- Planning: Refer to the ‘Projected Quantity‘ section to learn more about the fields under planning.The other fields in the item table are similar to those explained in the Quotation.
3.3 Packing List
This is linked to the Product Bundle and appears only when the transaction involves a product bundle.
The “Packing List” table is automatically refreshed upon saving the Sales Order. In cases where any items in your table are Product Bundles, the “Packing List” will include a detailed breakdown of these items.
Even for product bundle items, you’ll need to designate a Delivery Warehouse, which will then be reflected in the Packing List items. Should the items within your product bundle originate from various warehouses, you have the flexibility to modify the warehouse, serial number, and batch details in the packing list items accordingly.
3.4 Taxes and Charges
To add taxes to your Sales Order, you can select a Sales Taxes and Charges Template or add the taxes manually in the Sales Taxes and Charges table.
The total taxes and charges will be displayed below the table. Clicking on Tax Breakup will show all the components and amounts.
Shipping Rule
A Shipping Rule facilitates determining the shipping cost for an item, typically correlating with the distance of shipment, resulting in increased costs accordingly. To know more, visit the Shipping Rule page.
If a Tax Category is selected, the template and tax table will be automatically populated. To know more, visit this page.
3.5 Additional Discount
In addition to providing discounts per item, you have the option to apply a discount to the entire sales order within this section. This discount may be calculated based on the Grand Total (post-tax/charges) or Net Total (pre-tax/charges). The additional discount can be specified as either a percentage or a fixed amount.
3.6 Payment Terms
Occasionally, payments are not made in full upfront. Depending on the arrangement, it’s possible that half of the payment is made before shipment, with the remaining half settled after receiving the goods/services. You have the option to include a Payment Terms template or manually input the terms within this section.
Read Payment Terms to know more.
3.7 Terms and Conditions
In sales/purchase transactions, specific Terms and Conditions may dictate how the Supplier provides goods or services to the Customer. These Terms and Conditions can be applied to transactions and will be visible when printing the document.
To know about Terms and Conditions, click here.
3.8 Print Settings
Letterhead
You can print your quotation/sales order on your company’s letterhead. Know more here.
‘Group same items’ will group the same items added multiple times in the items table. This can be seen when your print.
Print Headings
Quotations can also be titled as “Proforma Invoice” or “Proposal”. You can do this by selecting a Print Heading.
To create new Print Headings, go to: Home > Settings > Printing > Print Heading. Know more here.
3.9 More Information
- Campaign: A Sales campaign can be associated with the quotation. A set of quotations can be part of a sales campaign.
- Source: A Lead Source type can be linked if quoting to a lead, whether from a campaign, from a supplier, an exhibition etc,. Select Existing Customer if quoting to a customer.
- Inter Company Order Reference: If two of your companies are part of the same organization or have a parent-child relationship, you can link a Purchase Order to this Sales Order. Know more about inter-company invoicing here.
- Project: If your Sales Order is part of a project, you can link it here and the Project progress will be updated.
3.10 Billing and Delivery Status
- Status: Indicates the current state of the Sales Order, which may be Draft, On Hold, To Deliver and Bill, To Bill, To Deliver, Completed, Cancelled, or Closed.
- Amount Billed and Delivered Percentage: Reflects the percentage of the total amount billed and the items delivered from the Sales Order.
3.11 Commission
If the sale took place via one of your Sales Partners, you could add their commission details here. Enter the commission rate and the commission amount here.
3.12 Sales Team
Sales Persons: BizCentric enables you to include multiple Sales Persons who may have been involved in this deal. You can adjust the contribution percentage of each Sales Person and monitor the incentives they earned from this deal.
3.13 Auto Repeat Section
Automatically recurring Sales Orders function similarly to subscriptions. Establish a start and end date for the auto-repeat and choose the created Auto Repeat. To know more about auto repeat, click here.
3.14 After Submitting
The Sales Order represents a “Submittable” transaction. Only after you “Submit” a Sales Order can you proceed with further actions, such as generating a Delivery Note.
Once the Sales Order is submitted, you can perform various actions:
- You can Add, Update, or Delete items within the Sales Order by selecting the “Update Items” button. However, please note that items that have already been delivered or assigned to a work order cannot be deleted.
- Status: After submission, you have the option to place the Sales Order on hold or close it.
- Creation: From a submitted Sales Order, you can generate the following documents:
- Delivery Note: For recording shipment entries. You can also create Delivery Notes for selected items based on the delivery date.
- Work Order: To initiate a work order with the required raw materials.
- Sales Invoice: For billing the Order.
- Material Request: To request restocking materials if they are out of stock.
- Request for Raw Materials: To request raw materials necessary for manufacturing.
- Project: To establish a project based on the Sales Order.
- Subscription: To set up automatic repeating of the Sales Order, effectively making it a subscription.
- Payment Request: To generate a Payment Request.
- Payment: For recording payments against the Sales Order.
These actions are also accessible from the top of the Dashboard. Additionally, you have the option to create an accounting Journal Entry based on the Sales Order directly from the dashboard.
3.15 Sales Order with Order type ‘Maintenance’
When the ‘Order Type‘ of the Sales Order is ‘Maintenance‘ follow these steps:
- Enter Currency, Price list, and Item details.
- Mention taxes and other information.
- Save and Submit the form.
- Once the form is submitted, the Create button will provide these choices specific to the maintenance Order Type.i) Maintenance Visit ii) Maintenance Schedule.
Note 1: By clicking on the Action button and selecting ‘Maintenance Visit’ you can directly fill the visit form. The Sales Order details will be fetched directly.
Note 2: By clicking on the Action button and selecting ‘Maintenance Schedule’ you can fill the schedule details. The Sales Order details will be fetched directly.
Note 3: By clicking on the Invoice button, you can make an Invoice for your services. The sales orders details will be fetched directly.