Setup a Customer Head Office account with individual branch accounts

This is an option instead of one customer account code with a delivery address for each branch, instead each branch has it own account and its own data which can then be combined into one head office account for further grouped analysis.

Advantages

• All transactions for a customer and its multiple branches are grouped to gether in one account, but you also have an individual account for each branch to analyse each branch.
• Easy to enter a customer payment. You do not have to split the payment between separate branch accounts
• Each branch account can have its own sales rep allocated to it
• You can create a single customer statement
• You can analyse sales for each individual branch and see what sells best in each store

Disadvantages

• You need to ensure the account code structure is kept organised to make it easy to find customer accounts
• Each branch account needs to have its contact details kept up to date

Suggested account code structure

4 letters and 3 numbers example: ABCD123

For the head office account code, always end the 3 digit code with 00 example: ABCD100

This will ensure it is the first account code for the group of branch accounts This avoids overlapping account codes for other customers

Customers who don’t require head office accounts can have 3 letters and 2 numbers and this reduces code overlap example: ABC12

Customer Account Code List

5 Accounts to be setup 1 Head Office Account 4 Branch Accounts

Customer Account codes

Example transactions

Sales Invoices January

Customer Payments February

Sales Invoices February

Sales Credit Notes February

Customer Payments March

Head Office Account with transactions

SHOP100 – Head Office Account

Compared to multiple accounts with no head office accounts

• Customer payment does not have to be split over 4 accounts
• Sales credit notes from one account can be easily allocated against other accounts, no need for sales journals.
• You can still see transactions for each branch account
• You can send one head office statement to the customer

Compared to one customer account with multiple delivery addresses

• A different sales rep can be assigned to each shop
• Sales to each shop can be analysed to see what is and is not selling
• Customer statement can show breakdown by shop