Multi-currency management in Frisbii

This article speaks about the processing and payment of transactions in multiple currencies. Since most buyers prefer to pay in their own currency, this kind of currency handling can help you expand your international market and simplify the conversion between your currency and the buyer's currency.

The multiple currency management is a Salesforce functionality. This article shows you how this feature applies to your Frisbii environment.
We recommend you to read these Salesforce articles on this topic:

Please note: once a multi-currency configuration is activated, it cannot be deactivated.
That's why we advise you to read this article carefully and to follow our instructions before setting it up.

Multi-currency billing - preliminary considerations

In general, an invoice must be paid in the displayed currency, but how to manage when your customer uses a different currency?
The exchange rate applied by the issuer's bank may be unfavorable, and if your invoice is 100€, the payment may be 95€.

There are several possibilities to manage this (Let's say your default currency is EUR and your customer's currency is USD):

either you display your prices in both currencies
or you display your prices in Euro to let the customer choose
- in this case, and it's up to the customer to take advantage of the exchange rate.
or you display your prices in dollars and you can :
- keep the dollars in case you have to pay in dollars yourself
- ask the bank to transform them into euros

If you are paid an invoice in a currency other than your own, there is an uncertainty about the amount of the final payment, linked to the exchange rate. You must be aware of this eventuality and take the necessary measures beforehand (GTC / prior negotiation with your foreign customers).

Now that you have taken a step back to see how you can handle this ambiguity, let's look at the impact of this feature on Frisbii objects.

Impact of multiple currency handling in Frisbii

Here are the impacts of this Salesforce feature on Frisbii objects.

Payment

As soon as the multi-currency option is activated in your org, the payment currency is automatically aligned with the invoice currency. It is therefore not possible to have a payment currency different from that of the invoice.

Cash Flow

It is possible to create a cash flow in dollars that is associated with payments in euros on invoices in euros.

Beware: in its current version, Frisbii does not take into account the conversion rate between these objects. Thus, with 1€ = $1, if you create a cash flow of 110 dollars, and from this cash flow you create a payment of 100€ on an invoice of 100 €, you will have a remainder of $10 to allocate on this cash flow, because the conversion rate has not been taken into account.

Sales ledger entries (Export in 4 decimals)

Starting with Spring'20, you have the option of exporting your entry lines with 4 decimal places. If you use multi-currency option, the number of decimal places chosen when configuring this Salesforce feature is also imposed on all the specific fields in Frisbii.

The number of decimal places is chosen when configuring the multi-currency and is by default 2.

Please find here the steps that allow you to set the number of decimal places to 4.
Now let's move on to activating this Salesforce feature and doing some hands-on testing.

Test the multiple currency feature in your sandbox

Since you can't go backwards after activating the multiple currency option, we strongly advise you to perform these tests in an updated partial copy or full sandbox before activating it on your production org. This will allow you to rectify some errors before going into production.

Here are some Salesforce articles on the subject:

Now let's set up the multi-currency in your sandbox to test them in Frisbii.

Enable multiple currencies for your organization

1. Go to Configuration > Company Information.
2. Click on the Currency Setup.
3.Enable Parenthetical Currency Conversion to allow you to display all currencies that the org will use.

Beware: If you disable this feature, only the currency of the record is shown in the currency fields.

4. Click on New, to create a currency.
5. Choose Currency Type.
6. Fill in the Conversion Rate and Decimal.
7. Then click on Save and New to create other currencies .

Salesforce Article : Enable Multiple Currencies

Set up your corporate currency

Go to Setup and enter Company Information and click Company Information.
In the Active Currencies list, click Change Corporate.
Select the new company currency from the drop-down menu. Only currencies that have not been added and are active are available.
Click Save.

Enable advanced currency management

From Setup, enter Manage Currencies in the Quick Find box, then select Manage Currencies.
Click Enable.
When prompted, select Yes, I want to enable Advanced Currency Management and click Enable.

When advanced currency management is first enabled, your existing exchange rates automatically become the first set of dated exchange rates. These rates are valid for all time, until you define another set of exchange rates.

Salesforce Article : Enable or Disable Advanced Currency Management

Change the conversion rates

These exchange rates apply to all currency fields used in your org.

Here are some steps to change the rates:

1. In Setup, enter Company Information in the Quick Find box and click Company Information.
2. In the Active Currencies or Inactive Currencies list, click Edit Rates.
3. Enter the Conversion Rate between each currency and your company currency.
4. Click on Save.

Change dated exchange rates

IMPORTANT: Currently dated exchange rates are not supported by Frisbii. We plan to do so in a future version.

From Setup, enter Manage Currencies in the Quick Find box, then select Manage Currencies.
Click Manage Dated Exchange Rates.
Click New Exchange Rates.
Enter the date that the exchange rates go into effect.
Enter the exchange rates.
Note : The exchange rates default to the current exchange rate. If you do not want to set a new exchange rate for a currency, delete the exchange rate (leave the field blank).
Click Save to save the new dated exchange rates.

Salesforce Article : Edit Dated Exchange Rates

Configure the number of decimal places

To configure and choose the number of decimal places to use for specific entries and fields, please follow these steps:

Note: The number is always an integer from 0 to 6.

1. In Setup, enter Company Information in the Quick Find box and click Company Information.

2. Click on Currency Setup.
3. In the section Active currencies click on Edit in front of the concerned currency:

4. Replace the number 2 with the number 4.
5. Click on Save.

Test of Frisbii features

Following the implementation of the Multi-currency functionality in your sandbox, here are some tests we recommend concerning Frisbii.

Checking the presence of the new currency in the Frisbii objects

This is a more general test. Once you have added a new currency, please check its appearance in the Frisbii objects you use:

the quotation,
the subscription,
the invoice,
the payment,
the cash flow,

but also the opportunity, if you invoice from this Salesforce object.

Here is the example of the quotation:

The currency between Frisbii objects

Depending on the objects you use, please :

Create a new opportunity/ quotation with the new currency
Invoice from this object

> The currency remains the same between the two objects

Create a new subscription with the new currency
Generate the schedule

> On the invoices the currency remains the same

Create a payment from an invoice (or check the payment created by the Automatic payments feature)

> On the payments the currency is also the same

You can also link these tests together.

Test the currencies applied from an Opportunity

From the opportunity:
- create a new opportunity.
- fill in the mandatory information (also according to your business needs).
- change the currency (e.g. from EUR to GBP).
- then save.

1. Create a quotation from this opportunity by clicking on the Create Quotation button.
2. Generate an invoice for the current opportunity by clicking on the Create Invoice button.
3. Create a subscription from the opportunity by clicking on the Create Subscription button.

Here are the procedures in more detail:

Steps

Create a quotation from this opportunity by clicking on the Create Quotation button.
Check that the currency remains the same between the quotation and the opportunity.
Generate an invoice for the current opportunity by clicking the Create Invoice button.
Click on Confirm.
Check that the currency remains the same between the opportunity and the invoice.
Create a subscription from the opportunity by clicking on the Create Subscription button.
Fill in the required fields and click on Create subscription.
Check that the currency remains the same between the opportunity and the subscription.
From the subscription, click on Create Plan to create invoices.
Check the currency on a sample invoice.
Then you can create a payment from the invoice.
From the payment, you can create a Cash Flow from the related list.
Beware: In the current Frisbii versions the currency of the payment is not applied on the Cash Flow in the multi currency scenario.

Test the applied currencies from an Quotation

Instead of creating a quotation from an opportunity, we create a quotation from scratch.

1. Create a quotation from the Quotations tab by filling in the mandatory fields as corporate name, the account as well as the currency, e.g. GBP.

2. Click on the Create Invoice button.

3. Click Confirm on the Invoice Generation page for the outstanding quotation.

4. Check that the invoice shows the currency indicated in the quotation

From the invoice, you can create the payment (if you are not using the Automatic Payment feature) by clicking on New from the associated list.

Enter the amount and the date.
Save.

Sales ledger entries (Export in 4 decimal places)

Here is the section of our knowledge base related to this feature: Sales ledger entries.

Let's focus here on the export test.

Reminder: Before testing, please follow this procedure which allows you to set the number of decimal places to 4 by default.

As soon as the modification is made, it is then necessary to regenerate new entries that include the update of these decimals, so that the precise amounts of the accounting entries are taken into account in the export. Here is the article that explains the export of entries: Sales ledger entries - Export .

Here are the features that are not yet available

The advanced multi-currency feature allows you to use dated currencies. Currently this feature is not yet supported by Frisbii.

To create the dated currency:

Go to Manage currencies.
Click on Activate advanced currency settings.

3. Then click on Manage Dated Exchange Rates.

In Dated Exchange Rates click on New Exchange Rates.

5. In the field Start date put the Date.

6. Save.

When the new feature is available:

a) You can e.g. create a new Invoice from scratch to check that the correct rate is taken into account.

b) To verify that the old rate is retained on invoices created from an quotation with the old rate: