Cross-Company Sales

In MYOB Advanced you have the ability to process sales and purchase orders between companies or branches in the same tenant.

Purpose

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To assist with processing sales, purchases, and returns of stock items between 2 companies or branches within a tenant.

Before you process

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All cross-company documents are created one to one. That is, for one cross-company purchase order only one sales order can be generated. For one shipment only one purchase receipt can be generated. The functionality works for purchase orders of the Normal type and for sales orders with order types that have the Sales Order (for sales) or RMA (for returns) automation behaviour.

Each company is usually a legal entity, with separate tax reporting and independent balance sheet. They both must use the same Base Currency, chart of accounts, preferences. However they can use different financial years.

To establish a customer or supplier account in MYOB Advanced, you will need to extend the two companies as a supplier and customer. If you require assistance with this process, our team of consultants is available to support you.

The Cross-Company Sale Process

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Buyer Company

1. On the Purchase Orders screen (PO301000), the purchasing manager of the purchasing company enters a purchase order of the Normal type and specifies the selling company as the supplier in the purchase order.
   
2. Add the stock items in the details tab of the purchase order.
3. Click Save and remove hold buttons on the screen toolbar.
4. The system assigns the Open status to the purchase order and makes the Generate Sales Order action available in the Actions menu. Also, the purchase order appears on the Generate Intercompany Sales Orders mass-processing screen (SO504000).
5. 

Seller company

1. Initiate the generation of a sales order for the purchase order on the Generate Intercompany Sales Orders screen. 
   Note: Alternatively, the Generate Sales Order action can be selected on the Purchase Orders screen, or a schedule can be created on the Generate Intercompany Sales Orders screen.
   
   Sales Orders > Processes > Generate Intercompany Sales Orders (SO504000)
   
   The system generates a sales order related to the initial purchase order with the Open status for the seller company on the Sales Orders screen (SO301000) and automatically copies the required details of the purchase order.
   On the Sales Orders screen, the system also does the following upon generation of the sales order:
   
   1. Copies the purchase order number to the Customer Order Nbr. field in the Summary area.
   2. Specifies the link to the purchase order in the Related Order Nbr. field on the Shipping tab.
      
      Sales Orders > Transactions > Sales Order (SO301000)

On the Purchase Orders screen, the system does the following in the originating purchase order:

1. 1. Copies the number of the sales order to the Supplier Ref. field in the Summary area.
   2. Specifies the link to the sales order in the Related Order Nbr. field on the Other tab of the purchase order.
      
      Purchases > Transactions > Purchase Order (PO301000)
2. Verify that all the data has been inserted correctly, makes changes if necessary, and saves the sales order.
3. Create a shipment document.
   The system saves the shipment details in the sales order, and the sales order gets the Shipping status.

When the shipment is confirmed, the system does the following:

1. Makes the Generate PO Receipt action available in the Actions menu of the Shipments screen
   
   Sales Orders > Transactions > Shipments (SO302000)
2. Displays the shipment on the Generate Intercompany Purchase Receipts mass-processing screen (PO504000)
   
   Purchases > Processes > Generate Intercompany Purchase Receipts (PO504000)

Buyer Company

Generate a purchase receipt for the shipment on the Generate Intercompany Purchase Receipts screen. 
Note: Alternatively, the Generate PO Receipt action can be selected on the Shipments screen, or a schedule can be created for the Generate Intercompany Purchase Receipts screen.
The system creates a purchase receipt on the Purchase Receipts screen (PO302000). The purchase receipt contains the details copied from the shipment.
The system also specifies the following details:

1. 1. On the Purchase Receipts screen, the shipment link in the new Related Shipment field on the Other tab
      
   2. On the Shipments screen, the purchase receipt link on the Shipping tab
      
   3. On the Purchase Orders screen (PO301000), the details of the purchase receipt on the PO History tab

Seller Company

Prepares the SO invoice for the shipment and releases the invoice on the Invoices screen (SO303000). The system assigned the Open status to the invoice.
The AR invoice becomes available on the Generate Intercompany Documents (AP503500) screen.

Receivables > Transactions > Invoices and Memos (AR301000)

Buyer Company

From the open AR invoice, generates the related AP bill on the Generate Intercompany Documents screen.

Payables > Processes > Generate Intercompany Documents (AP503500)

Note: alternatively, by using the Generate/View AP Document action on the Invoices and Memos screen (AR301000) or a schedule can be created for the mass-processing screen.

In the generated AP bill, the lines are linked to the related purchase order and receipt. The system also adds details of the generated AP bill on the Billing History tab of the Purchase Receipts screen for the related receipt.

Related Articles

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• Create Sales Order
• Crete Shipments
• Create Purchase Order
• Create Purchase Receipt

Questions?

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If you have more questions, please contact BusinessHub's support desk on 1300 733 071 or raise a Support Case.