Pay suppliers centrally

A company hands a supplier invoice to head office, which pays it.

Find a partner Back to Allocations and central payments

What it does

The subsidiary delegates the invoice line; head office's outgoing payment clears the supplier; due-to and due-from postings are automatic.

When you need it: One payment run for the whole group.

How it works

In the subsidiary, open Banking › Outgoing Payments › Outgoing Payments and enter the supplier's code to load its open payment lines.
Enter the paying company's branch code in "Delegation Company" (and a "Delegation Branch" if it uses branches), select the lines to hand over and choose "Delegate".
The subsidiary's entry debits the supplier and credits the due-to account for the payer. In the payer, a journal entry follows at once, with the subsidiary's due-from account on the debit side and the supplier on the credit side.
In the payer, Banking › Outgoing Payments › Incoming Delegation lists what has been handed over: supplier, original invoice number, instalment, due date, amount and sending company.
The payer opens Outgoing Payments for the same supplier and posts the payment against the delegation line.
Back in the subsidiary, "Payment Detail" on the outgoing payment shows the payer's payment number, date and amount paid.

Set it up

In Administration › Setup › Intercompany › Branch Accounts Setup, each company keeps an account for what every other company owes it and one for what it owes them; delegation posts to both sides. The supplier must be a global business partner: delegation is limited to A/P invoices from global vendors. Notices are set per company in Administration › Setup › Intercompany › Intercompany Alerts Administration, as system alerts or emails; the "Contact Person" on the payment is the one who receives the email.

Since: Version 54 (April 2025): a choose-from-list button on the "Delegation Company" field.

Good to know

It works in both directions: head office can also pass supplier invoices to a subsidiary to pay for it.
Head office can settle one supplier's invoices from several subsidiaries in a single consolidated payment.
In the Incoming Delegation window, "WT Amount", "Nota Fiscal No.", "Series", "Subseries" and "Model" apply only to the Brazil localisation.
The journal entries show the delegation under "Intercompany Details": "Incoming Delegation", "Delegation Reference" and "Delegation From".