The General ledger is a complete record of all financial transactions in a company. The general ledger holds account information that is required to prepare financial statements, and it includes accounts for assets, liabilities, owners’ equity, revenues and expenses.
All transactions are posted to the general ledger, either automatically by the system or manually by the accountant. This gives you accurate financial statements, consistency between the general ledger entries and the real world; traceability and documentation of all entries.
An advanced interface between the transactions and the general ledger will provide you with tools for reconciliation and quality assurance, providing a traceable and high-quality year-end closing on month by month basis.
- Make adjustments to entries
- Make period adjustments
- Reconcile ledger accounts, VAT and the bank accounts
- Close the fiscal period
- Gain/loss on foreign exchange calculation
- Inspect balance sheet values
- Nonconformity management
The payables are the company’s unrealised debt to the suppliers or the debtors. The payables are connected to the General Ledger via a sub-ledger called Accounts payable. The Accounts payable ledger provides an overview of all transactions between your own company and each supplier and is used to keep track of the settlement of open and closed entries in the General Ledger.
RamBase provides you with:
- An updated overview of what you owe your suppliers
- An overview of payables by date
- Actions for settlement of debts
- Auction counter accounting
Processes supported within the payables:
- Supplier invoicing
Invoice registration and debt settlement are some of the tasks that are included in the work on payables. Depending on the type of transaction that leads to the invoice, the supplier invoices are handled in different ways in the system.
There are many different types of transactions. Some of them are connected to procurement and receipt of goods, e.g. purchase of goods/materials or consumables on requisitions. Other transactions are not directly connected to procurement, e.g. regular expenses like rent, electricity, or subscriptions.
- Overview of the accounts payable
- Follow-up of the payables ledger
The suppliers sometimes need an account statement for an overview of the transactions between the companies. With an account statement, the suppliers can compare and possibly make corrections due to nonconformities and incorrect entries. Internally, an updated payables ledger will form the basis for cash management and the follow-up of overdue posts.
- Credit handling
When your company receives a credit note from a supplier, it must be registered in RamBase. Credit notes can be issued due to a response to complaints about received goods and/or services, or disagreements regarding prices.
- Auction counter accounting: In an auction, a supplier might just as well be a customer. Therefore, we have an auction settlement process that handles clearing (counter accounting) and disbursement towards suppliers after auctions.
Receivables are the company’s unrealised claims on the customers or the debtors. Receivables accrue when goods or services are delivered, and a sales invoice has been issued. Receivables are connected to the General Ledger via a sub-ledger called Accounts receivable. Accounts receivable provides an overview of all transactions between your own company and each customer and is used to keep track of the settlement of open and closed entries in the General Ledger.
RamBase provides you with:
- An updated overview of what the customers owe you
- An overview of receivables by date
- Actions for settlement of claims
- Auction counter accounting
Processes supported within the receivables:
- Sales invoicing
- Payments in advance and Advance Invoice Plans
- Follow-up of receivables ledger is one of the most important financial processes. It provides an overview of the customer’s open entries and the customer cash flow to help you to see if you need to resend invoices, send account statements, payment reminders or calculate interest. The information will help you decide if the customer should be allowed to place new orders before old orders are paid. It can be advisable to set a credit limit for a customer to decrease the risk of loss if the customer does not pay.
- Credit handling
Auction counter accounting: In an auction, a supplier might just as well be a customer. Therefore, we have an auction settlement process that handles clearing (counter accounting) and disbursement towards suppliers after auctions.
Management of the company’s cash flow is an important, daily process in all companies. The purpose of the cash management process is to mirror the real bank accounts, so you do not have to leave RamBase to get control over your company’s liquidity and the balances on the different bank accounts you have. RamBase provides tools for managing, monitoring cash flow and all necessary transactions efficiently and reliably.
- Bank account setup
- Overview of the company’s liquidity
- The basis for bank reconciliation
- Option to make corrections to errors and nonconformities between bank accounts and the General Ledger
- Register incoming payments.
Incoming payments can be registered either manually or automatically. In cases where an invoice is sent, and if you have many customers and a large number of transactions, you can increase your efficiency by using EDI (Electronic Data Interchange). This will minimise the risk of errors, and your accounts receivable will always be updated.
- Make outgoing payments.
Outgoing payments can be made either manually or automatically. Based on updated balances from accounts payable, you make payments via your bank. You can increase your efficiency by using EDI (Electronic Data Interchange). This will minimise the risk of errors, and your accounts payable will always be updated.
- Bank reconciliation
When the bank accounts are reconciled, you will have an overview of your liquidity. You can increase your efficiency by using EDI (Electronic Data Interchange) for bank reconciliation.
RamBase supports budgeting and reporting against a budget. Budgets can be created in RamBase, or in a spreadsheet and subsequently imported into RamBase. A budget can be divided into one entry per budget account, period, department, or project. RamBase supports a simple consolidation of budgets.
Most users prefer to enter budget figures in a spreadsheet, as it speeds up the registration process. If different spreadsheets do not contain the same combination of account, period, department and project, the budget will be consolidated while it is loaded into RamBase. This makes it possible to distribute the budget process to different departments or projects.
Budget figures are stored on separate budget accounts and are mapped against the Chart of accounts, or the flexible account group structure in RamBase. This provides a flexible budget structure. Budgets can be compared with both balance sheets and income statements.
The RamBase budget process provides you with:
- Control over revenue and costs
- The basis for comparison and analysis
- A tool for planning and measuring financial development
- Budget import
- The budget can be imported into an Excel file (CSV format).
VAT reference configuration:
RamBase VAT management is based on the VAT reference system. The VAT reference system helps you pick the correct VAT code based on automatically registered country codes. It simplifies time-consuming VAT management, especially when a company has VAT registrations in many countries.
Multinational VAT configuration:
If a company has a warehouse or an agent (location) that is VAT registered in another country, you have the possibility to set up separate VAT rates for that country / VAT registration number. Transactions, where this location is the consignment country, will then be managed with a separate set of national VAT rules. Based on the setup chosen, it is possible to run VAT reports for different countries in the same accounting system.Intrastat reporting
It is possible to issue the EU Intrastat sales and purchase reports in order to report trade between companies within the European Union.
Satisfactory tax handling requires that the company’s system is configured in accordance with the company’s standards, and the applicable laws and regulations stipulated by the authorities. RamBase provides you with the necessary control to follow up on laws and regulation.
Management of sales tax:
For trade between companies within the United States (US), the VAT reference system traces the states for consignment and shipment. A state can be defined on transactions, and for suppliers and customers. This provides the option to post and report trade between US states manually. RamBase does not support automatic management of sales tax.