Business Feature / Process | Description | Example/use case | Empasis in Emphasis on training material | Additional notes |
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Accounts | An account is a ledger of financial transactions carried out between the Business and its contacts or the Business and its merchants/service providers Account key features follow: A unique number is assigned based on a numbering scheme A classification that can be used in various business rules to differentiate what the account owner is/is not allowed to do (e.g. classifications with higher credit limits) Credit Terms Currency: Contacts can have multiple accounts, BUT each one of them must be of a different currency. In any case, the account’s account's currency must be one of the business’s Business's supported currencies Ability to specify the account which is Primary (and default) State Active: Contact can perform transactions, place orders, and subscribe to services. Suspended: Temporarily suspended due to big enormous outstanding debt. during During this period, the contact cannot make any transactions apart from payments. Terminated: Contact can no longer make any transactions and cannot re-activate the account either. A new account should be created in this case. Terminating the account requires all “account"account-based” based" entities to reach a final state, e.g. Subscriptions should be cancelled, and Orders should be completed or cancelled. On terminating the account, contacts are prompt prompted to manage their balance (only if the account is in credit)
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Account owners | Within a business setup, an account owner is either The Business and Venues cannot have an account. | | | |
Journal entries | A Journal Entry represents a transaction that either debits or credits an account or the CRM.COM Wallet. Each journal: Has an accounting type; debit or credit Performed for either an Account or the CRM.COM Wallet Might It might be related to a financial or a rewards transaction, e.g. an invoice, OR it might be manually created to adjust/correct the balance.
| | | Journal entries are kept in Mongo DB for analytics purposes. Financial The financial Events screen in the backend utilises utilizes Journals collection information. In addition, dedicated Web APIs can be used to retrieve and create journal entries. |
Credit Terms | Credit Term Rules define the business default Credit Limit and Payment Terms. Additional rules can be set up to differentiate the default account credit terms per account classification. Credit Limit: Shows the account owner’s owner's credit, i.e. the maximum allowed running balance Payment Terms: How an invoice’s invoice's due date will be set Net D, D stands for days A pre-defined list is supported starting form from Immediately Due, Net 7, Net 14 etc. List The list can be modified, but only these values can be set to accounts.
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Accounting Periods | An accounting period includes a set of debit and credit journals posted within a district period of time. Monthly accounting periods that begin on the 1st of each month and up until the last date (inclusive) A period closes automatically on the 5th of a following month Once a period closes, then no more financial transactions can be posted having a posted date within the period’s period's time frame A business can keep up to 6 accounting periods open. This means that on the 7th month, the period 6 six months ago is closed. This is useful for business Businesses that might record delayed financial transactions On During each period closing process The opening balance of the account makes its running balance calculation easier. It also allows calculating the balance of the account back in time.
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Ageing Analysis | Ageing is an accounting term used to classify an account owner’s debt owner's deb,t depending on how long it’s it's been due since an invoice was issued. Ageing Analysis is used as a financial monitoring tool that monitor monitors contacts' debt and its age. Aged Invoices can be used to review or forecast the amount owed by account owners. CRM.COm supports Total aged balance per account as well as a breakdown of the aged balance in a fixed list of 5 buckets, 30 days duration each (i.e. aged by 1-30 days, 31-60 days etc.) Ageing Analysis report, called Debtors Report Ageing metrics Metrics in dashboardsDashboards
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Financial Transactions | Financial transactions are processes that represent a financial event and generate a journal entry in an account. Five classifications of financial transactions | | | |
Multi-Currency/Multi-Countries solutions | A Business operating in various countries has to specify the following: It’s It's base currency as well as any other accepted currency(ies) of the countries at which it operates The operating countries. For each country, its currency is specified.
For each Each additionally accepted currency, its 's exchange rate against the base currency can be set (manually). Exchange rates are used to Prices can be configured in any of the supported currencies, and the country of agreement is one of the advanced pricing conditions. On contact registration, the country of agreement is selected, resulting in applying prices of that country.
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Tax Rates | CRM.COM allows setting up multiple tax rates. Each Tax Rate includes: Tax Code: VAT, Sales Tax, Exempt Percentage Can apply different taxes per supply method Can apply different taxes per Country of agreement Product conditions (specific products or product families) A single Tax can be specified as the default one per code, country of agreement
Special attention to: Multiple VAT taxes can be specified per country A single Tax Exempt rate is required In order for a Tax to be applied, it requires at least one product or product family.
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Numbering Schemes | Numbering schemes assign a unique number to Accounts Invoices Credit Notes
The rest of the transactions are assigned a unique and random 16-digit code as their number. The number is set on posting the financial transactions. While in Draft state, they only have a reference number (again, a 16-digit code) | | | |
Allocations | Allocations are used to allocate the amount of a credit transaction against the debit transaction , in order to settle any overdue amount. Allocations are applied automatically by the system based on the allocation principle of the system, which can either be FIFO or FIFO and Against Item. The allocations mechanism ensures that all transaction amounts are allocated, so cases in which there's un-allocated an unallocated amount in a credit and a debit financial transaction are prevented. | | | |
Invoice Estimation | Provides an estimation on of an invoice’s invoice's charges before creating it Accepts a list of products to be included in the invoice with their quantities Optionally, a price is specified for each product (the unit price). If not specified, then the estimation will apply pricing rules Returns total amounts (net, tax, discount) detailed pricing per invoiced item taxes breakdowns per invoiced item and the total
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Reports | Organisation Financial Analysis: Basic information of the primary account of organisationsorganizations Contact financial Analysis: Basic information of the primary account of organisationsorganizations. Debtors Report: Ageing analysis Accounting Analysis: View the Business’s Business's accounting transactions per month in summarised a summarized format
The first two reports include amounts in each account owner’s owner's currency, whereas the last two present the amounts in the business’s Business's base currency. | | | |
Insights | Insight analytics for | | | |
AutomationsAutomation | Automations Automation allows the business Business to: Communicate a new financial transaction to its contacts (when it is posted) Communicate a Payment Failure Automatically try to activate a subscription on by crediting the account (payment, credit notes) Use Webhooks Create/Cancel Customer events In the case of invoices) Automatic Content Updates (update custom fields on posting a payment)
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