Consignment is when the owner of the Customer Owned Unit is allowing the Dealership to sell their Customer Owned Unit of their behalf.
The Dealership and the owner will then agree on a payout figure which is payable to the owner once the Consignment Unit has actually sold.
Blackpurl has the ability to indicate on Customer Owned Unit Record that the unit is now on Consignment to the Dealership.
This Consignment Unit can then be subsequently sold through Blackpurl on a Customer Order > Unit Deal.
1. Both the Customer and the Customer Owned Unit must be in Blackpurl
- If the Customer is not in Blackpurl, you will need to add them as a new Customer. This is the link to the relevant article - How to Create / Add a New Customer
- If the Customer Owned Unit is not in Blackpurl, you will need to add it to the relevant Customer. This is the link to the relevant article - How to Add a Customer Owned Unit to a Customer Record
2. For the Dealerships that have Accounting Integration, there is a new Control Account that has been introduced called Consignment Clearing and a General Ledger will need to be assigned. This only needs to be a clearing account.
If you do not have a clearing account that you want to use, we would be suggesting that you create a General Ledger in your accounting package called BP Consignment Clearing (Other Current liability) and then resync your Chart of Account before assigning the new General Ledger.
Jaxon Price has a unit he wants sold and is allowing the Dealership to sell the unit on Consignment. The Agreed Payout figure is $10,000
- Navigate to the Customer Owned Unit Record and then click on EDIT
- On the Edit Customer Owned Unit screen there is now a field called Consignment
Move the relevant toggle to the indicate that the Unit is now Consignment. Once you have moved the toggle, the system will require further information:
Suggested Price - this is how much the Dealership would like to sell the unit for
Agreed Price - if the unit is sold, this is how much it has been agreed that the owner would be paid for the unit
Category - for accounting integration > what category do you want to use
Don't forget to click on
- This Customer Owned Unit Record will now indicate that it is Consignment and all the details will list:
- The Consignment Unit will now be available to search for and select on a Customer Unit > Unit Deal and it will indicate that it is Consignment
- The Base Unit Price on the Unit Deal is the Suggested Price as per the Customer Owned Unit Record and it will indicate a COU (Customer Owned Unit) number and not a Stock Number as Consignment Units never actually come into stock and be a part of the Unit Inventory valuation. Remember the Dealership does not own the unit - it is on Consignment
- If there is a Customer Order > Unit Deal in play, the Customer Owned Unit Record will indicate the relevant CO number
- Dealership would finalise the Unit Deal as normal
- Accounting Integration:
- Once the Customer Order > Unit Deal where the Consignment Unit is sold is invoiced, Blackpurl will automatically generate a Credit Memo in your accounting package
- The Credit Memo will sit under the relevant Consignment owner's name in the accounting package for the Agreed Payout amount
- This Credit Memo you will use to pay on when required
- For these transactions the system will use the Consignment Clearing Account as setup in your Accounting Integration > Control Accounts - remember this is a clearing account so it should go back to zero
- Reporting - The option to list Consignment Units is available on Unit Inventory Reports
- For example even though the Consignment Unit never becomes part of the Stock Inventory, you can choose to run the Stock Unit and Stock Valuation Reports to Include Consignments
- Run the relevant report and then just change the parameters to Include Consignment
- Then just add in the Column - Consignment