To manage your Accounts Receivable effectively, you need to be able to track the payment terms for each of your customers, communicate those terms to your customers along with the due date for each invoice that you send them, and track the payment status of each invoice with respect to its due date. You can use ServiceTrade's payment terms and invoice due date features to make these tasks easier.

Payment Terms Account Settings

You can use ServiceTrade's account settings to define which payment terms you want to make available to your users in ServiceTrade, and which payment terms option should be used as the default.

To edit your payment terms settings: If you are a administrator in your ServiceTrade account, click on your avatar in the upper right corner of ServiceTrade, then choose Account Settings.

On the account settings page, open the 'Payment Terms' section to view the account settings for payment terms.

In the Configure your company's payment terms section, you can choose which specific payment terms you want your users to use in ServiceTrade. If there are payment terms in this list that you never intend to use -- for instance, if you never offer Net 90 terms to your customers -- then simply uncheck that option and it will not appear in payment terms dropdown lists elsewhere in ServiceTrade.

In the Default payment terms section, you can choose which payment terms option your users should use by default. You should choose whichever payment terms option you use most commonly here -- for instance, if you typically offer 30 day terms to your customers, then you should select 'Net 30' as your default payment terms.

The default payment terms selection that you make will be automatically applied to all new contracts that you create. It will also be applied to all new invoices that you create if the invoice's contract does not have payment terms defined. See the 'Service Contract Payment Terms' section below for more information on contract-specific payment terms.

Service Contract Payment Terms

You can assign payment terms to individual service contracts that you create for your customers. To set a contract's payment terms, open the 'Contract Rules' section of the contract, then edit the Payment Terms setting:

The payment terms that you select here will be automatically applied to any new invoice that you create with this contract.

For instance, if you offer 30 day terms to most of your customers (and therefore set your account's default payment terms to Net 30), but one particular customer negotiated 45 day terms with you, then you could edit that specific customer's contract and change the payment terms setting to Net 45. All invoices created for this one particular customer will now have 45 day terms applied, while all other customers will continue to receive Net 30 terms.

Invoice Payment Terms and Due Dates

Whenever you create an invoice, you may choose the payment terms that will be applied to that invoice:

By default, the invoice will get its payment terms from the contract that you used to create the invoice (if that contract has payment terms) or from your account's default payment terms (if the contract doesn't). However, you can change the payment terms on an invoice-by-invoice basis, if necessary.

The due date for each invoice is calculated as:

Invoice transaction date + Payment terms number of days = Invoice due date

For instance, if an invoice's transaction date is October 3rd, and its payment terms is Net 15, then October 3rd + 15 days = a due date of October 18th.

For each invoice that has payment terms defined, the due date will be calculated automatically; however, you can override the invoice's due date without changing the payment terms, if necessary.

You can also search the invoice list for all invoices due in a given date range:

For instance, you might search the invoice list for all invoices whose status is 'Sent' and whose due date is on or before yesterday (Due Date: To equals yesterday) to find all invoices that have been emailed to your customers that are now overdue.

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