Credit Recovery Settings

Credit recovery should mostly run itself — asking each vendor for exactly what you've agreed to, then handling the follow-up without you. This one tab is where you set all of that up, once.

Every credit memo you send is built from a few sources — returns and destruction, promotions you ran with a vendor, and markdowns on aging inventory. Right here is where you decide which of those are even on the table. Flip one of these switches off, and that whole category simply never gets asked for. So before anything else, this is where you shape what credit recovery is even looking for.

Now, what happens when a vendor just goes quiet? Once the review deadline passes, a documented credit can either book itself automatically, or wait for you to give it one last look. These switches make that call for you, separately for each kind of credit. Left off, the way they are here, every deemed credit parks for your review first. Turn one on, and that category settles itself the moment the clock runs out.

Everything you've just set are your defaults — they apply to every vendor automatically. But no two vendor deals are the same, so you can tailor any of it, vendor by vendor, right here. Each row shows that vendor's effective settings, including one column that tells you at a glance how many credit types they approve on their own. When a vendor needs something different, you open them up.

Open any vendor and their full settings fold out. Up top are their coverage rates — this is where a single vendor gets their own numbers, from their target margin to their share of returns, promotions, and aging markdowns. Leave any of them blank and that vendor quietly inherits the default you set for everyone. You only touch a rate here when this vendor's deal is genuinely different.

Below that are the same credit sources, but now just for this one vendor. Maybe you run promotions with them yet never charge aging markdowns — you'd switch aging off for them alone and leave the rest inheriting your default. And here's the handy part: switch all three of these off, and this vendor drops out of credit recovery entirely. They simply won't show up when you run it.

And that automatic booking works per vendor too. For one specific vendor, you can settle their documented credits the day the deadline hits, or hold every one of theirs for a manual look — no matter what your default does. A steady, trustworthy vendor can run on autopilot, while a newer relationship stays hands-on until you're comfortable.

One last decision, and it's about what happens after a credit is approved. If you run your accounts payable through ShelfSpace, approved credits just appear as deductions on that vendor's next payment — there's nothing for you to do. But if you keep your books somewhere else, flip this on. Every approved memo then emails straight to your accounting team, with a clean spreadsheet and the memo PDFs, so they can take the deduction in your own system.

And that's the whole tab. You set your defaults once — which credits to ask for, what settles on its own, and where the approved ones land — and from then on every vendor is handled exactly the way you would handle them yourself, with anyone who's different set up in seconds. Configure it once, and credit recovery runs the way your business actually works.