This article will explain how to set up and how Foreign Exchange works in Blackpurl.


Foreign Exchange in Blackpurl will allow the Dealership to order and receive parts and units from foreign Vendors using their currency yet have these foreign amounts converted to your local currency in your Inventory


Vendor bills for these foreign purchases are sent to your accounting package in the currency of the Vendor 


Please note that once you turn on Foreign Currency, we will be unable to turn it off 

Prerequisite 


Foreign Exchange works in tandem with the foreign currencies which have been set up in your accounting package 


You will need to turn on / set up the relevant foreign currencies / multi currencies in your accounting package before you start setup in Blackpurl


Xero - For information on how to add foreign currencies in Xero, please refer to their link - Add a Foreign Currency in Xero


QuickBooks - For information on how to turn on multi currencies QuickBooks, please refer to their link - Set up and use Multicurrency in QuickBooks Online


Initial Setup of Foreign Exchange in Blackpurl



Once you have set up your accounting package for foreign currency/exchange, you can begin to set up your Blackpurl


You will need to enable and setup Foreign Exchange under System Settings and also create your new foreign Vendors 



System Settings > Settings & Controls - Foreign Exchange 


From the Blackpurl Header > Click > System Settings


From the System settings dashboard > click



Then select Foreign Exchange section



To start the Foreign Exchange costing option in Blackpurl, enable the relevant toggle -



If you get the following banner - it means that you have not enabled multi-currency functionality in your accounting package - remember that this is a prerequisite and MUST be done first




Once you have enabled the Foreign Exchange costing toggle, you will need to accept / understand and confirm that you wish to continue with the setup by READING THE WARNING   



If you agree to the warning - check the relevant acceptance / understand checkbox and click


If you do not agree to the warning and do not wish to continue with setup, simply click



Once Foreign Exchange costing has been enabled the information from your accounting package will populate the relevant fields


Remember that Blackpurl will only allow you to use the same currencies that are defined in your accounting package ie your home currency / foreign currencies etc



Tip:

You will notice that we will start using the currency flag as a notification of what currency and to inform that Foreign Exchange is now in play 

This currency flag will be used through out Blackpurl as the relevant notification


The exchange rates shown for each currency are updated daily through the same service used by your accounting package but we also provide you with an Exchange rate markup which you can optionally make use of


You can use this markup to account for upward or downward trends in exchange rates in order to minimize the exchange rate differences between when stock is received and when you later pay the vendor for the invoice


Simply enable this Exchange rate markup and type in your markup rate 



All Settings should automatically save but if you are unsure, click on  to make sure



Creating New Foreign Exchange Vendors


When creating new Vendors, you have the opportunity of indicating if they are a Foreign Vendor


You will need to do this when you first create the new Foreign Vendor





For our existing Dealerships that want to use an existing Vendor to now be Foreign Vendor, you will need to contact Blackpurl Support and provide details of which existing Vendor/s you want to be Foreign Vendors so that we can run a special script on those Vendors and their relevant Part Records 


How does Foreign Exchange work


Units


Unit Ordering 



When accessing the Unit ordering screen for a Foreign Vendor, the first thing you will notice is that there is a banner:



This banner advises:

  • that it is a Foreign Vendor -


  • using the currency flag it will indicate what currency is attached to this Vendor - ie


  • the current conversion rate - ieon, once the Vendor Order is submitted, the conversion rate is locked down 


  • that All Costs are in the currency of the Vendor.  All the prices are in the local currency


This means that when you add the Base Unit Cost, it must be in the currency attached to your Foreign Vendor but the Base Unit Price will be in your local currency 



The relevant foreign currency symbol will remind you throughout the process that there is Foreign Exchange in play



Unit Receiving 


With Unit Receiving you can see that the foreign currency symbol and it will remind you what currency you are working with and the Unit Receiving / Invoicing will be the foreign currency and should equal the Vendor Invoice provided by your foreign Vendor 



This means that the Unit Vendor Invoice will integrate as per the foreign currency indicated on the Vendor Record over to your accounting package


Unit Record 




1.  The cost price will now show on the Unit Record as the local currency based on the relevant Foreign Exchange

conversion rate


2.  The price will already be in your local currency 


3.  The ordering summary will still show in the Vendor's Currency - note the use of the currency flag to denote the

relevant currency 

Parts 



Part Ordering (Vendor Order / VO)


When accessing the Part Order Vendor Order / VO) screen for a Foreign Vendor, the first thing you will notice is that there is a banner:



This banner advises:

  • that it is a Foreign Vendor -
  • using the currency flag will indicate what currency is attached to this Vendor - ie
  • the current conversion rate - ie and once the Vendor Order is submitted, it will lock down the currency conversion rate 
  • All costs are in the currency of the vendor



  • when received they will be converted to your local currency in your inventory


You would just process the Vendor Order as per normal



Parts Receiving (Vendor Receiving / VR)  /  Part Invoicing (Vendor Invoice / VI)


When you process a Vendor Receiving / Vendor Invoice for a Foreign Vendor, there is always a banner to remind you 



It will still be listed in the Vendor's currency 



You will process the Vendor Receiving / Vendor Invoice as per normal


Remembering that the total for the Vendor Invoice should equal the total of the Invoice provided by your Foreign Vendor as it will integrate into your accounting package in the currency setup on your Foreign Vendor



Part Records


Parts that are attached to a Foreign Vendor will show will look similar to this example:






1.  the MSRP and Retail in local currency 


2.  the cost will be shown in both local currency (converted rate) and foreign currency (note the currency flag)