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Vendor Balance

📋 Vendor Balance Report​

The Vendor Balance Report provides a comprehensive overview of the outstanding payables to each vendor or supplier within a selected date range. It helps your business track amounts owed, manage vendor credit efficiently, and ensure timely payments. This report is crucial for maintaining healthy vendor relationships and avoiding overdue penalties or supply disruptions.

✅ Purpose​

  • To display the total outstanding amounts payable to each vendor.

  • To manage accounts payable more effectively.

  • To assist in cash flow planning and budgeting for vendor payments.

  • To keep track of vendor-wise liabilities.

  • To support audit and compliance with real-time data.

📌 Key Components​

  1. Vendor Name

    • The name of the supplier/vendor to whom the amount is payable.

  2. Opening Balance

    • Payable balance carried forward from before the selected date range.

  3. Purchase / Expense Amount

    • Total purchases or bills recorded during the selected period.

  4. Payments Made

    • Total payments issued to the vendor within the selected period.

  5. Credit Notes / Adjustments

    • Any returns, discounts, or credit notes issued by the vendor.

  6. Closing Balance (Outstanding)

    • Final balance still payable to the vendor:
    info

    Closing Balance = Opening Balance + Purchases – Payments – Credit Notes

  7. Aging Bucket (optional)

    • If needed, breakdown of the payable amount based on due dates (e.g., 0–30, 31–60 days, etc.).

📆 Filters & Customization Options​

  • Date Range – Filter by custom date ranges (monthly, quarterly, yearly).

  • Vendor Name or Group – Filter by specific vendor or vendor group.

  • Vendor Type – Raw material supplier, service provider, etc.

  • Branch / Location – Show balances based on branches or warehouses.

  • Currency – Supports multiple currencies and conversion if required.

  • Include/Exclude Zero Balances – Option to skip vendors with no dues.

🧾 Sample Report Format​

Vendor NameOpening BalancePurchases (₹)Payments (₹)Credit Notes (₹)Closing Balance (₹)
ABC Traders₹10,000₹25,000₹20,000₹2,000₹13,000
XYZ Enterprises₹0₹40,000₹35,000₹0₹5,000
LMN Supplies₹5,000₹10,000₹15,000₹0₹0

📈 Use Cases in ERP Application​

  • Accounts Team uses it to monitor pending vendor payments and plan disbursements.

  • Procurement Team uses it to evaluate vendor credit exposure before placing new orders.

  • Auditors require it for verifying vendor dues and reconciliation.

  • Management uses it for cash flow forecasting and financial planning.

🔐 Access Control​

  • Only users with accounting or finance roles will have access to this report.

  • Role-based filtering ensures users see data only for permitted branches or vendors.

🧠 Benefits​

  • Clear picture of how much is owed to each vendor.

  • Avoids missed or delayed payments.

  • Helps maintain healthy supplier relationships.

  • Supports internal audit and vendor account reconciliation.