Contracts

Think of a contract as a contract between your company and a customer. The contract contains the terms and conditions controlling how the system calculates charges for the specific service supplied to the customer.

Every account should have at least one contract (otherwise, the account has no financial obligations with your company). There is no limit to the number of contracts that may be linked to an account. However, most financial services customers have X contracts where X is the number of services sold by your company.

A separate contract is required for every service supplied to every account. Why? Because a variety of fields may differ for each contract:

• Obviously, the price of the service is different.
• The credit and collection criteria may be different.
• The general ledger account to which the resultant revenue and/or receivable are linked is different.
• The sales tax could be different for each good / service.
• The list goes on...