What is dunning term in SAP SBO - SAP Business One?

SAP Term: dunning term

• Component: SBO

• Component Name: SAP Business One

• Description: The fees and interest rate charged to customers who reach a dunning level. The dunning wizard compares a selected dunning level to all open customer documents, such as A/R invoices. If a customer reaches a dunning level, the dunning terms are specified in a dunning letter.

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• Key Concepts: 
  Dunning term is a feature in SAP Business One (SBO) that allows users to set up automated payment reminders for customers who have overdue invoices. It is used to ensure that customers pay their invoices on time and helps to reduce the amount of time spent manually chasing payments.
  
  How to use it: 
  To set up a dunning term, users must first create a dunning letter template in the system. This template will be used to generate the payment reminder emails that are sent out to customers. Once the template is created, users can then set up a dunning term by specifying the number of days after an invoice is due that the payment reminder should be sent out. 
  
  Tips & Tricks: 
  When setting up a dunning term, it is important to consider the customer’s payment terms and preferences. For example, if a customer typically pays their invoices within 30 days, then it may be best to set up a dunning term with a reminder sent out after 25 days. This will ensure that customers are reminded of their payment obligations in a timely manner without being overly aggressive. 
  
  Related Information: 
  For more information on setting up dunning terms in SAP Business One, please refer to the official documentation here: https://help.sap.com/viewer/product/SAP_BUSINESSONE/9.3/en-US/f8d7f2b7a6c14e8a9f3d2b5f1e4d7c2a.html