Vendor Onboarding and Setup

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Before You Start

Have these details ready:

• Legal or trade name used on vendor invoices.
• Main purchasing email and phone number.
• Remittance address if it differs from the vendor’s business address.
• Payment term, such as Due on Receipt, Net 15, or Net 30.
• Vendor part numbers, minimum order quantities, lead times, and default costs for products you buy.
• Drop-ship eligibility if the vendor ships directly to customers.

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Create the Vendor Account

1. Go to Accounts.
2. Click Create Account.
3. Set Account Type to Vendor.
4. Enter the required Company Name.
5. Confirm or choose the Display Name that operators should search for.
6. Add email, phone, payment term, and pricing level if available.
7. Click Create Account.

Arcus opens the new account detail page after save. Vendor accounts appear in vendor search controls for purchase orders, product purchasing setup, AP bills, and vendor returns.

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Complete the Account Detail

On the account detail page, review the sections your team uses:

• Overview: confirm the display name, account type, email, phone, and active status.
• Addresses: add business, billing, shipping, or remittance addresses as needed.
• Contacts: add the primary purchasing or AP contact.
• Tax and Terms: select the vendor payment term when it was not set during creation.
• Vendor tab: review open POs, payables aging, recent bills, and the stored payment term.
• Prepayments tab: use only when your AP workflow records vendor advances before a bill exists.

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Set or Update Payment Terms

Payment terms are managed in settings, then selected on the vendor account.

1. Go to Settings > Entity Settings > Payment Terms.
2. Confirm the term exists and is active.
3. Go back to Accounts and open the vendor.
4. In edit mode, update Tax and Terms > Payment Term.
5. Save the account.

Arcus uses the vendor term as the default context for AP and purchasing workflows that read account terms. If a term is missing from the dropdown, confirm it is active in settings.

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Link Products to the Vendor

Approved vendor data lives on the product purchasing setup, not only on the account.

1. Go to Products.
2. Open the product you buy from this vendor.
3. Open the product’s purchasing area.
4. In Approved Vendors, click Add.
5. Select the Vendor Account.
6. Enter the vendor part number if the supplier uses one.
7. Enter Min Order Qty.
8. Enter Lead Time (Days).
9. Save the vendor link.

Use the default toggle when this should be the preferred vendor for the product. A product can have multiple approved vendors, but only one should be treated as the normal buying source.

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Add Purchase Policies

Purchase policies control vendor pricing tiers for PO line cost defaults.

1. From the same product purchasing area, open Purchase Policies.
2. Click Add Policy.
3. Select the approved vendor.
4. Enter the quantity break.
5. Choose Regular pricing and enter the purchase price, or choose Multiplier when the price derives from list price.
6. Add effective dates when the agreement is time-bound.
7. Mark the policy active.
8. Save the policy.

Arcus blocks duplicate active policies for the same vendor and quantity break. It also blocks a policy quantity break that is below the vendor’s minimum order quantity.

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Configure Drop-Ship Suppliers

Use drop-ship setup only for vendors that ship directly to your customers.

1. Confirm the vendor account exists and is active.
2. Confirm the product is linked to that vendor as an approved vendor.
3. Follow the drop-shipping setup for the product and vendor.
4. Test one sales order before relying on automated PO creation.

When a sales order uses a drop-ship product, Arcus can create a linked purchase order for the vendor. The vendor ships to the customer address, and purchasing can review the linked PO from the normal Purchasing workspace.

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What to Verify After Setup

• The vendor can be found in Accounts and purchase order vendor search.
• The vendor has a current email for PO communication.
• Payment term is set or intentionally blank.
• Product approved vendor rows include MOQ and lead time.
• Purchase policies match the vendor’s latest price sheet.
• The default vendor toggle is correct for each product.
• Drop-ship products are tested before live customer orders depend on them.
• AP confirms whether vendor credits should expire by default in purchasing settings.

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Common Blocks

• Create Account is disabled: enter the required display name and company name for vendor accounts.
• Vendor is missing from PO creation: confirm the account type is Vendor and the account is active.
• Payment term is missing: go to Settings > Entity Settings > Payment Terms and confirm the term is active.
• Product is missing from PO Add Item: link the product to the vendor as an approved vendor.
• Unit cost looks wrong: review the product purchase policies, active status, quantity break, and default vendor.
• Policy save is blocked: check for duplicate active policies, invalid effective dates, or a quantity break below the vendor MOQ.
• Lead time is not what buyers expect: update the product-vendor lead time first, then review the entity default vendor lead time.
• Vendor should no longer be used: mark the account inactive after confirming there is no open purchasing or AP work that still needs action.

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