With the development of your business, your operations will start to become more intense and segmented, and so one of the best practices in financial planning of a business is the creation of Cost Centers.
Cost Centers are the parts of your business that will influence the total expenses of your organization. Each business has its reality and its division, but are common examples to the Central Reserves, Governance and Maintenance.
Regardless of your reality, take a look at this material to learn how to assemble your structure.
Creating a Cost Center
To create a Cost Center, the process is very simple: just go to [Catalog> Auxiliaries> Translations], locate the [Industry Related] section and make your edits. By clicking on the blue arrow you can include the name of your Cost Center.
Applications of Cost Centers in the system
After you have registered the Cost Centers of your business, you will have the necessary database to use them in other screens of the system, thus generating more precise indicators.
Let's see some examples.
Launch of Accounts Payable
When you post a payable account within the [Financials> Receipts and Payments> General Accounting] screen, you can relate the expense to the sector of your business.
Just click on [add more relations] to see the option:
Paid Account Filter
Also within [Finance> Receipts and Payments> General Accounting], when you check the box "include paid items" and in the advanced screen filters, select the Sector, the system will display all the transactions already paid over the period, providing so that the Cost Center generated expenses over the period.