Reverse vendor payouts

WHAT TRIGGERS THE VENDOR PAYOUT REFUND?

You can choose in which status you want the refund to happen. For that, go to Contacts > (choose vendor) >  Payment Setup tab > Automated Payment Refunds:

If you choose the first option, the refund will not be automatically processed, and you will need to follow the steps below to start the payout refund process.

HOW TO MANUALLY REFUND THE VENDOR PAYOUT

You can start the process by going to Sales > Returns and Cancellations > click the dropdown next to the order > "Refund vendor payout"

Or you can also do it from within the return itself:

WHAT HAPPENS IF THE INVOICE HAS ALREADY BEEN RAISED?

If the item is returned, you'll need to refund the vendor payout and a new invoice will be raised with a negative amount.

Onport will reconcile returns/refunds from vendors by adjusting the balance due and reconciling the next payout with an updated amount.

If an order is refunded after it has already been paid out to the vendor, the system will deduct this amount from the next vendor payout.

UNDERSTANDING THE BALANCE TAB

If you go to Contacts > (dropship provider) > Balance tab, you'll see a breakdown of all the invoices that were raised for that vendor and if you've refunded the vendor payout, you'll be able to see that information there as well.

INVOICE - the order number the invoice belongs to.

SHIPPING - the shipping cost of the order

ADJUSTMENTS - Manual adjustments 

LANDED COSTS - ad hoc fees, usually associated with the shipping of a product (example: international shipping like taxes and fees, packaging costs, etc.)

INVOICED - amount that was invoiced to the vendor

TAX - taxes that were applied to the order

COMMISSION RETAINED - commission retained by the marketplace

REFUNDS - refunds issues due to returns

SUBTOTAL - total amount expected for the vendor

PAID - total amount paid to the vendor

DUE - total amount due to the vendor (Due = Subtotal - Paid)

👉You can potentially avoid having to refund the vendor payout if you set a number of days to delay the payments.

For example, you may want to delay the payment until the returns period has ended to avoid complications in returning vendor funds back to the customer for returns or refunds. You can find this setting under the payment setup tab of each dropship provider: