Inventory Transfers Setup

Navigation: From the Setup Entry menu, select the System Settings button. Then click the Inventory / Purchase Orders tab, and click the Inventory Transfers button.

There are three Modes, or ways that inventory transfers are processed in the system.

Mode 1 – G/L

This is the most common and simplest mode. To use this mode, just check the box. When inventory is transferred, no bills or transactions are created. Instead, if you have the accounting module, General Journals are created to move the inventory value between the stores, using the Inventory Transfer account.

Mode 2 – Bill

In this mode, Bills are created whenever a transfer is finalized (received). The store receiving the inventory gets a Bill saying they owe the other store for the amount of the tire, and the store sending the inventory gets a vendor Credit Memo, noting that they now owe that much less to the other store. To set this up:

• Create a vendor for every one of your stores.
• Uncheck the Mode 1 checkbox.
• Click in the Mode column of each Store once or twice, so that they all say Bill.
• At each store, click in the Store’s Vendor Name column, and select the Vendor you created for that store.
  

Mode 3 – W/O

Use this mode if your Central location sells inventory to their other stores. In this mode, when the Central location ships inventory:

• The Central location gets a Workorder for the inventory sent, at the price level assigned to that store.
• The Store gets a bill from the Central location.
  

To set this mode up:

• Create a vendor for your Central location.
• Create a Customer for each of the other Stores.
  • Set their price levels to whatever price they pay to the Central location when tires are transferred to them.
• Uncheck the Mode 1 checkbox.
• On the line for the Central location:
  • Set the mode to W/O.
  • Click in the Store’s Vendor Name column, and select the Vendor you created for Central.
• On the lines for the other Stores:
  • Set the mode to Bill.
  • Click in the Store’s Customer Name column, and select the Customer you created for that Store.