Intercompany Trade Relations and Agreements
Infor LN intercompany trading begins with defining trade relations in session tdpur0100m, which establishes which companies can trade with each other and under what terms. Trade agreements specify the transfer pricing method, markup percentages, currency conventions, and automatic order generation rules. A properly configured intercompany framework eliminates manual order creation and ensures audit-compliant transfer pricing documentation.
- Define intercompany trade relations in tdpur0100m specifying buying and selling company pairs with valid date ranges
- Configure transfer pricing methods: cost-plus, resale-minus, comparable uncontrolled price, or transactional net margin
- Set up automatic purchase order generation when the selling company confirms a sales order against a buying company
- Establish intercompany pricing agreements with currency rules, markup percentages, and volume-based tier pricing
- Configure intercompany warehouse transfer routes for physical goods movement between company-owned facilities
Automatic Order and Invoice Processing
Infor LN generates matching intercompany documents automatically when configured through the intercompany trade framework. A sales order in the selling company triggers a corresponding purchase order in the buying company. Goods receipt in the buying company triggers automatic invoice creation, ensuring synchronized financial postings across both entities without manual intervention.
- Enable automatic intercompany purchase order creation linked to sales order confirmation in the selling entity
- Configure goods receipt synchronization so receiving company receipt triggers shipment confirmation in sending company
- Set up automatic intercompany invoice generation using self-billing or matched invoice processing through tfacp0150s
- Define intercompany payment netting rules to settle balances periodically rather than per-transaction
Intercompany Reconciliation and Settlement
Intercompany account reconciliation in Infor LN uses session tfgld0499m to identify and resolve discrepancies between matching company balances. Periodic settlement runs net intercompany payables and receivables, generating payment instructions that minimize actual cash transfers between entities. This reduces banking costs and simplifies treasury management for enterprise groups.
- Run intercompany reconciliation reports via tfgld0499m to identify unmatched or mismatched transactions across entities
- Configure multilateral netting schedules to minimize cash transfers between group companies on a monthly or quarterly cycle
- Set up automatic elimination entries for consolidation reporting to remove intercompany revenue, COGS, and balance positions
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Baan Purchase Order Template
A printable purchase order layout modeled on what Baan and Infor LN print, with header, line table and terms. Use it as a reference when rebuilding the PO report.
Streamline intercompany trading in your Infor LN environment—book a transfer pricing consultation with Netray.