Example: Billing for 'Blade Wear' using Metered Units

In the equipment rental business, accurately charging for cutting discs and blade wear is crucial for maintaining profitability and customer satisfaction. This guide will walk you through the process of setting up cutting discs as individual hire items and charging for blade wear separately. By following these steps, you can streamline your invoicing process and ensure accurate billing for your services.

To begin, you need to establish a Selling Unit for blade wear that will be associated with the Blade Wear item. This unit will have a set rate per millimeter of blade wear for charging purposes.

1. Navigate to the main menu strip at the top and go to Setup > Item Related > Selling Units.

2. Click the + New Selling Unit button located at the top left.

3. Enter "mm" in the Unit Description field.

4. Click on the Metered tab.

5. Check the Meter Unit checkbox.

6. Click the Save Changes button.

Next, you will create a Blade Wear item to be included in separate invoices from the Cutting Disc items. This item will allow you to charge for a specific amount of blade wear in millimeters.

1. From the main menu, go to Setup > Items.

2. Click the + New Item button at the top left.

3. Enter a description (e.g., Blade Wear) and a unique code (e.g., BW) for the item.

4. Select an Item Type suitable for non-stock items, such as Misc.

5. Under the Configuration sub-heading, check the Non Stock checkbox.

6. Navigate to the Rates/Prices tab.

7. Choose the "mm" Selling Unit previously set up.

8. Enter the charge rate per millimeter of wear.

9. Click Save Changes to save the new item.

Now, you will configure the cutting discs as individual metered hire items to accurately track usage and charge for blade wear.

1. Set up the cutting discs as individual hire items following the guidelines in the Adding Items documentation.

2. In the item setup details, check the Metered checkbox under the Configuration sub-heading.

3. Navigate to the Companions tab.

4. Add the Blade Wear item (BW) created earlier and mark it as Required with a default quantity of 0.

5. Complete the remaining hire item details and rates/prices.

6. Click Save Changes to finalize the setup.

By following these steps, you have successfully configured your system to hire out cutting discs and accurately charge for blade wear. This structured approach ensures transparency in billing and enhances customer satisfaction.

When creating a new hire, follow the standard procedures outlined in the Sales/Hire Records documentation. Add a cutting disc to the hire, and note the following steps for recording and charging blade wear:

• Method 1: Measure the disc diameter in millimeters and enter it as a negative value. Update the diameter upon return to calculate the wear.

• Method 2: Enter the current wear amount in millimeters and adjust it upon return.

Upon return, populate the Hired To date and enter the final meter readings to determine the chargeable usage. You can manually adjust the Blade Wear invoice line or use the Charge Usage feature for streamlined billing.

By following these steps, you can efficiently manage cutting disc rentals and accurately charge for blade wear, ensuring fair and transparent billing practices for your customers.