Buy on credit and pay suppliers in parts

Most shops don’t pay suppliers on delivery. SmartPOS Hub lets you record a purchase on credit, pay it later in as many parts as you like, and always see what you owe each supplier. This page is for owners and accountants who handle supplier bills.

How supplier credit works

Payment status	Meaning
Paid	The full purchase total has been paid.
Partial	Part has been paid; the rest is still owed.
Due	Nothing has been paid yet.

Every unpaid amount is added to the supplier’s Balance due. If you set a Pay term on the purchase (for example 30 days), the purchase also counts towards the overdue figures in Reports › Payment by Age.

Before you start

• Your role needs Add purchase payment (and Edit purchase payment / Delete purchase payment to correct mistakes), in User Management › Roles, group Purchase.
• If you track money per bank or cash box, create them in Payment Accounts › List Accounts first so you can pick a Payment Account.

1. Record a purchase on credit

When you add the purchase, go to the Add payment section and enter 0 (nothing paid) or the part you paid today, for example 20 % of the bill. Save. The purchase shows Due or Partial in Purchases › List Purchases, with the open amount in Payment due.

/purchases

The Payment due column shows exactly what is still owed on each purchase.

2. Pay one purchase in instalments

1. In Purchases › List Purchases, open Actions on the purchase and choose Add payment.
2. The window shows the supplier, reference, location, Total amount and the supplier’s Advance Balance. Amount is filled with what is still due; change it to what you are paying now (for example the next 50 %).
3. Choose the Payment Method (cash, card, cheque, bank transfer…), check Paid on, and pick a Payment Account if you use one.
4. Attach the receipt under Attach Document and add a Payment Note if useful.
5. Click Save. Repeat for every later instalment.

/purchases

Add payment on a purchase. The amount starts at the remaining balance; type a smaller figure to pay in parts.

To check or fix earlier instalments, choose Actions › View payments. Each payment has edit, delete and view buttons, and Add payment is available there too.

/purchases

View Payments shows every instalment made against one purchase.

3. Pay the supplier’s whole balance at once

When you settle several bills together, pay from the supplier instead of bill by bill:

1. Open Contacts › Suppliers and click the supplier’s name.
2. The page shows Total purchases, Balance due and Advance Balance. Click Pay Due Amount.
3. The window lists Total Purchase, Total Paid, Total Purchase Due and any opening balance. Enter the Amount you are paying, the Payment Method and Paid on.
4. Click Save. The amount is applied to the oldest unpaid purchases first.

/contacts

The supplier page shows what you owe and the Ledger, Purchases and Payments tabs.

/contacts

Pay Due Amount pays across all open purchases of this supplier.

Note

Paying more than the balance keeps the extra as the supplier’s Advance Balance, which you can use on later purchases by choosing the payment method Advance.

See what you owe

• Home dashboard: the Purchase due card and the purchase payment due widget.
• Supplier page › Ledger: every purchase, payment and return in date order. Download it as PDF or send it by E-mail to agree balances with the supplier.
• Reports › Supplier & Customer Report, Purchase Payment Report and Payment by Age (see Reports overview).

Tips and mistakes to avoid

• Always pay against the purchase (or with Pay Due Amount), not as an expense. Expenses do not reduce what you owe the supplier.
• Returns lower the balance too: a purchase return is deducted from what you owe.
• Use Payment Account consistently, otherwise bank balances in Payment Accounts won’t match your bank statement.

Related pages

Record a purchase

Customer credit and part payments

Payment accounts

Contacts