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Campersteve
October 6, 2020
Question

Invoices

  • October 6, 2020
  • 1 reply
  • 0 views

Hi,

I have a wedding car hire company, and most of my business comes via my website and search engines. But recently I have started working with The wedding Car Hire People (TWCHP), an online wedding car booking company.  They list my camper on their site:  https://www.theweddingcarhirepeople.co.uk/wedding-car-datasheet/?item=11104&make=VW+Bay+Window&model=1972+Devon+Campervan&county= 

They process the enquiry, take the payment, usually just the deposit, and then pass the completed booking to me, and for that, they take 12.5% of the total booking amount.

All this is great, and I have already received bookings from them, but I am struggling to figure out how to process this in Quickbooks.

Below is an example:

  1. TWCHP take a booking for a total of £400
  2. They take a 25% deposit from the customer £100
  3. They take their commission of 12.5% of the total booking from the deposit, £50, and transfer the remaining amount of the deposit, £50 to my bank account.
  4. From this point, they have finished with this customer, and the customer’s details are passed to me.

 

So here is my invoicing issue:

  • I have to invoice the customer for the full amount, £400 and show a payment received of £100. However, my bank account does not show any payments from this customer.
  • The customer is set up a CUSTOMER in QB
  • The TWCHP is setup as a SUPPLIER in QB
  • So, I have a SUPPLIER who is paying me, how do I process this?
  • They do not send any invoices to the person who booked because they are my customer, not theirs.
  • I need to send the customer an invoice for the full amount, minus any deposit paid, or an invoice marked fully paid if that is the case.
  • When I download a balance sheet into Quickbooks, I will not be able to match the payment with the customer invoice because TWCHP will have deducted their commission.
  • I also need to match the deposit balance payment sent by TWCHP to an invoice

 

Can you please tell me the correct way to invoice this process so that all the invoices and payments match?

I have tried to explain this as clearly as possible, but by all means, ask further questions if required.

1 reply

P
payment after leaving
October 6, 2020

Hi Campersteve You'll have to create the invoice for the total amount. When you receive any payments relating to the invoice from the 3rd Party into your bank, go to the invoice > select receive payment > and enter/select undeposited funds in the  'Deposit to' field > save and close.Then select New+ > Bank deposit > ensure that you select the correct bank account that you receive the money to is entered in the 'Account' field and the correct date is selected in the 'Date' field.The invoice payment that you allocated to the undeposited funds account will be showing, tick the box to the left > in the 'add funds to this deposit' section enter the name of the supplier in the 'received from column > in the account column enter, you may have to create, an expense account relating to the commission that the supplier/3rd party takes > in the amount field you will have to enter the amount of the commission taken as a minus figure, the net amount that you receive in your bank account will be shown in the bottom left, save and close and you should be able to match this deposit to the amount showing on your banking page.

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