Three Party Purchase Orders in Microsoft Dynamics GP

How can you issue a purchase order to one firm (the supplier) when a second firm (the parent company) will be paying the bill? It happens frequently when inventory is financed or factored as well as in a number of other
situations. Here is one way to handle it.

Create the parent company (or finance company) as a vendor. Add to that new vendor record Vendor Addresses for the suppliers that will be receiving the purchase orders and shipping you the products.

Now, create a purchase order using the parent or finance company as the vendor. However, click on the Expansion Arrow next to the Vendor ID to open the Purchasing Vendor Detail Entry window. On this window, change the Purchase Address ID to the address created for the supplier. This will cause the purchase order to be created and mailed to the supplier. However, the vendor account number associated with the purchase order is the account number of the parent or finance company, the firm that will be expected to pay the bill.