Rebates are a huge part of any merchant or wholesale business and managing them has always been a challenge, especially if you are using outdated software that isn’t aligned to your industry. Often complicated, many merchants return to what they know or how they have always dealt with them. This can lead to missed opportunities to achieve better margins and the difficultly of dealing with the administrative burden involved. The establishment of a thorough rebate structure and management system could mean the difference between a profit or loss. Up to 4% of potential revenue typically goes unclaimed.
Rebate Management & Your Business Software
Managing rebates in Excel can lead to an increase in human error, lack of transparency and double data entry; it’s a slippery slope. Modern business software designed for the merchant and wholesale industry offers pre-built functionality and flexibility to support complex rebate rules or even bring in group results to give a more realistic rebate value. It will also allow you to capture and represent the different rebates that span the industry, from guaranteed percentage/amount to flat, tiered, or incremental.
Your business software should enable you to;
- Define what, how much and when you can claim and pay your rebates.
- Easily track and claim money due from suppliers and money out to customers in a timely manner.
- Ensure product costings and any related reports reflect rebate discounts.
- Easily access full historical traceability for all rebates
- Automatic rebate accrual to your general ledger
- Rebate recalculation when thresholds are crossed.
- Potential rebates calculated on every purchase order and delivery line.
This level of visibility and control ensures rebate terms are fully adhered to minimising profit leakage or rebate disputes.
Your business software also helps you proactively manage your rebates. Rebate management involves easy tracking of progress, pro-active notification of rebates due and where threshold boundaries are close. The administrative savings here are huge if effective rebate management is alive and well in your business.
To find out more visit intactsoftware.com.