Setup Settlement Discount percentages applicable within a certain time period to encourage Customers to pay early. Assign a Settlement discount percentage to a customer. The system will then print the appropriate message on the invoice, complying with SARS VAT requirements.
Settlement discounts are discounts that are given to a customer for the early payment of an invoice. If a payment is received from your customer within the number of days negotiated then the discount may be deducted from the invoice value.
This serves as an incentive for early payment from your customer, which in turn will improve your cash flow. You can create different types of Settlement Discounts and allocate them to your customer accounts and also select them when processing Customer Documents (e.g. Invoices).