(Vendor Rebate users only)
Vendor rebates are prevalent in the electrical, plumbing, and other industrial segments. In other industries, vendor rebates may be called a "ship and debit system." The purpose of vendor rebates is that you (the wholesaler) and the vendor both get sales that you might otherwise lose to lower priced competitors. You receive a substantial rebate based on specific customers' purchases of a designated item or items, while the vendor is able to maintain their margins on products sold to non-rebate customers.
With the Vendor Rebates application, you enter the cost and selling price information for the specified customer into your Epicor Eagle™ system. Then, as you sell merchandise to the specified customer, the system automatically tracks rebate information. The system adjusts the cost on orders with rebates, so transactions that include rebate items do not show a loss and reflect a more accurate margin. Additionally, the system makes a G/L entry to a "rebates due" account for the difference between the normal cost-of-goods and the lower cost used on a rebate customer's sales orders.
Rebate transaction information is stored in the Rebate Tracking Viewer for subsequent viewing, exporting, and reporting. You can also use the Viewer to enter/track "rebates claimed" and "rebates received." At the end of the month, you'll export information from the Rebate Tracking Viewer (or use a report you create in ODBC or Request) that shows all of the products sold to the specified set of customers and the rebate amount expected from the vendor. You send this information to the vendor, and in turn, the vendor reimburses you for the rebate amount due. You then apply the reimbursement toward a G/L account such as "other income" or "rebate income."