Rebate, Chargeback & Deal Management

After installation the app appears as Rebates & Chargebacks. Users with the Invoicing Billing right get the Deal & Rebate User group, accounting administrators get Deal & Rebate Manager; both can also be given on the user form.

1. Create an agreement. Rebates & Chargebacks > Agreements > New. Pick the partner, the side (Supplier Rebate or Customer Rebate), the rebate type, the calculation basis (amount or quantity) and the dates. Fill the rate, the tiers or the growth baseline. Optionally list the Products in Scope on the Scope tab.
2. Set the accounting. On the Accounting tab choose the Accrual Account (required to activate), the Accrual Offset Account and the Accrual/Settlement Journal (both required to post the accrual entry).
3. Activate. Click Activate. With Capture Invoice Lines ticked (the default), the vendor bills or customer invoices of the partner already posted inside the agreement dates are booked right away, and every invoice posted later is booked when it is posted. Capture Invoices pulls posted lines again at any time without duplicating them.
4. Follow the accrual. Rebates & Chargebacks > Transactions lists each booked line with its running basis, applied rate and rebate amount. Hand-typed transactions start as drafts: click Accrue to include them in a settlement.
5. Register deal prices and claim chargebacks. Deal Prices holds the contract price per agreement and product. In Chargeback Claims > New pick the supplier agreement, the product, the sale date, the quantity and the invoiced price: the contract price comes from the deal price. Submit, then Approve and Reconcile.
6. Settle a period. Settlements > New, pick the agreement and the period, then Compute, Post Accrual Entry and Settle. The vendor credit or credit note is created as a draft in Invoicing for you to review and confirm.
7. Review. Deal Profitability compares the agreements; an agreement can be closed once its outstanding balance is settled.

How each rebate type computes. Flat rate: the percentage of the transaction amount, or the amount per unit. Volume threshold and tiered ladder: the band reached by the running total, including the transaction, gives the rate for the whole transaction. Growth: the bonus rate on the part of the running total above the reference baseline. Accrued Rebate counts every non-cancelled transaction, drafts included.

Good to know. Invoice lines without a product are not captured. Amounts are taken in company currency at the invoice rate and converted to the agreement currency. If you type transactions by hand, untick Capture Invoice Lines so they are not counted twice; agreements created before this version keep capture off after the upgrade. Posting the accrual entry and the credit note writes accounting documents, so the person settling also needs the Billing right. A transaction that is part of a settlement cannot be cancelled until the settlement is cancelled or reset.

What it does not do. Deal prices are off-invoice: they are not applied to sales or purchase prices, pricelists or invoices. Sales orders and purchase orders are not read before they are invoiced. Deal Profitability does not include product cost or margin.