Creating Contract Discount Terms

To create a discounted contract:

  1. Create a Work Breakdown.

    See Enter Work Breakdown for how to enter a Work Breakdown (WB) during project setup.

    The Work Breakdown must have at least two line items before you create or import a new subcontract on the system to prevent auto-completion of subcontracts.

  2. Create a new subcontract. See topic Creating Subcontracts Manually.
  3. Access the Edit Contract dialog box from the Subcontract List page or the Contract Maintenance page.
    1. From the Subcontract List page, select the Action icon and select Edit Settings.
    2. From the Contract Maintenance page, select Edit Settings button.Select the Rate Type.
      • Fixed Rate: Discount terms are locked when the contract is accepted by a Subcontractor with this rate type.
      • Variable Rate: Head Contractors can change the discount terms on contracts with this rate type.
    3. Select the Terms.
      • Enter the discount rate (%)
      • Enter the number of days prior to the trigger date the Subcontractor must bill to receive a discount
      • Claim Date
      • Beginning of Next Month.
        Choose the trigger date (the event that triggers the discount)
        For example: 5/10 net 30 would be entered as a Cash discount of 5% applies if paid within 10 days from Claim Date.

        Note: Discount rates and terms are editable until the Subcontractor confirms the contract.

  4. Submit the contract.

    Subcontractors accept the discount terms when they confirm their contracts on the system.

    • Once Subcontractors confirm their contracts, the discount terms will be locked.
    • Discounted contracts do not affect usage fees paid by the Subcontractor.