Setting up and tracking cross-hired items accurately is crucial for tracking commission fees owed to cross-hire owners/suppliers. This guide will walk you through the various methods of setting up cross-hire items in your system to suit your business needs.

Firstly, we recommend setting up a new Item Type dedicated to Cross-Hire via Setup > Item Related > Item Types.

Often, Cross-Hire items come and go, as such General Placeholders & Per-Item/Supplier Placeholders tend to be more common. But if you need to track each individual asset, use the last option below for "Specific Asset Numbers".

If you don't require detailed sales information based on item type or supplier, creating a non-stock placeholder is a simple solution. Follow these steps:

• Create a new item in Setup > Items and name it "Cross Hire Placeholder" or similar.

• Ensure the item type is a dedicated item type like "Cross-Hire".

• Check the "Non-stock" checkbox under the Configuration section and save changes.

While this method lacks detailed sales figures, it provides a basic placeholder for cross-hire items.

For more detailed sales figures per supplier/item, creating specific placeholders for each item and supplier is necessary. Each of these will be set up the same way:

1. Go to Setup > Items > Create New Item

2. Name the item based on the kind of stance.

3. Put it into the "Cross-Hire" item type you created.

4. Give the item a recognisable code, a good rule of thumb is to use the supplier's initials and then an abbreviation of the Item description.

5. Navigate to the Cross-Hire tab and select the supplier this placeholder belongs to.

6. Click Save Changes.

This method allows for detailed sales reports based on item type and supplier, enhancing data accuracy.

For a hypothetical rental company, suppose Supplier A hires out 1.7T Excavators and 2.0T Excavators but Supplier B only hires 1.7T Excavators.

In this scenario, you would follow the steps mentioned above to create a placeholder item called "1.7T Excavator" with a code of "SUPA.1.7TEX", which would allow you to easily search for all of a supplier's items by simply searching for their initials 

This method means that you'll be able to run a report to see Sales figures specifically for any 1.7T Excavators that are from Supplier A, versus Supplier B.

It does not, however, allow for tracking individual asset numbers. For that, you'll need to use the Specific Asset Number method.

For tracking individual asset numbers from suppliers, setting up proper "Cross Hire Items" is essential. Follow these steps:

• Create a separate Item Type called 'Cross Hire' to distinguish cross-hire items from regular inventory.

  • If you're exporting to third party accounting software the Item Type should have a separate Chart Of Accounts code as well.

• Set up Cross Hire owners as Suppliers in the system via Setup > Suppliers.

• Go to Setup > Items and create or select an item to be cross-hired, assign it the Cross Hire Item Type, and set the Owner Name to match the respective supplier.

• Enter the percentage the owner is to retain from hire income into the Owner % field, and optionally you can enter some comments.

  • Note: It is possible to have multiple owners for any given piece of equipment.

• Click Save Changes

This method allows for detailed tracking of individual asset numbers and ensures accurate reporting.

To generate reports on cross-hired equipment, navigate to Reports > Cross Hire.
The following reports are available:

• Currently On Hire by Item: Displays all cross-hire items currently out on hire.

• Sales by Item: Shows items on a cross-hire owner basis with related invoices and revenue.

• Sales by Month (Summary): Summarizes cross-hire owner revenue on a monthly basis.

By following these steps and utilising the reporting features, you can efficiently manage and track cross-hire items in your system, ensuring accurate data and streamlined operations.

Alternatively, you can create a Purchase Order for the cross-hire item and link it to the invoice.

Follow these steps:

1. Go to Orders > Purchase Orders and create a new Purchase Order for the item in question.

2. While on this Purchase Order screen, click on the Customer Invoices/Orders tab and then click Link Customer Invoice/Order.

3. Then in the Invoice/Order field, select the invoice you want to link it to.

4. Finally, click Link and save the Purchase Order.

See the Purchase Orders guide for more info: https://docs.hirepos.com/en/articles/2330689