SAP Business One

Credit Limit

Different businesses might have their own credit management needs. In SAP Business One you can set up automatic credit checks. Credit management allows you to reduce the credit risk by setting up the credit limit for your customers. If a customer places an order which exceeds his or her credit limit set in SAP Business One, a customer will see a warning in the shopping cart of a Sana web store and in the checkout.

 NOTE

Starting from Sana 9.3.1 a warning is shown also in the checkout. It applies to "one step checkout" and "multistep checkout".

Depending on the credit limit setup in Sana Admin, customers can see two different warnings about exceeding their credit limit.

A customer can be asked to pay full amount online while placing the order. This means that the customer will have to pay his or her order online through a payment provider using a credit or debit card by selecting the payment method during the checkout process.

In the second scenario, the customer is asked to pay his or her outstanding invoices. The customer can open his or her invoices history and pay the outstanding invoices.

Which message to show to your customers and how they should pay can be configured in Sana Admin. To set up credit limits in Sana Admin, go to: Setup > Ordering & checkout > Ordering.

Using the Validate credit limits field you can select which warning message should the customers see and how they should pay their orders.

For more information about how to set up credit limits in Sana Admin, see "Credit Limits".

Below you can read how to set up credit limits in SAP Business One.

Set up a credit limit for a customer

Step 1: In SAP Business One click: Administration > System Initialization > General Settings. In the General Settings window, on the BP tab, enable Credit Limit for Sales Order.

Step 2: To set up a credit limit for a customer in SAP Business One click: Business Partners > Business Partner Master Data. In the Business Partner Master Data window, select a customer for whom a credit limit should be set and on the Payment Terms tab, in the Credit Limit field, enter the credit limit amount for your customer.

When a customer exceeds a credit limit, a warning is shown in the shopping cart and in the checkout of the Sana web store, informing a customer that he or she should either pay the outstanding invoices or full amount online through a payment gateway. A customer can also see the amount by which he or she exceeds the credit limit.

In the general area of the Business Partner Master Data window, in the Account Balance field you can check the customer balance and see the total amount a customer owes for completed sales.

The system compares the value in the Credit Limit field with the customer balance in the Account Balance field, and if the customer balance exceeds the credit limit, a warning will be shown in the shopping cart.