In Katana, Services are a type of item, similar to Products and Materials, except a service is a non-physical good that is always available that doesn't participate in warehouse workflows (picking, packing, receiving, put-away, moving).
Using Services as an item in Katana, you'll have the flexibility to sell services and other non-inventory items just like physical products, without the need for stock adjustments, manual workarounds, or separate workflows.
Whether you'll use services to offer installation, maintenance, repairs, design, warranties, or something else, you can now add them directly to a sales order (SO), just like you'd add a product.
By adding services to SOs, you'll be able to track things more easily, simplify revenue management, and have full visibility into your sales pipeline.
Other important information about services:
If completing an SO with a service item, stock quantity isn't checked for services since they’re always available.
Services aren't shown on the Packing list printout or barcode label printout (since they're non-physical).
Services aren't shown in the Warehouse app's Pick & pack workflow (as they are non-physical, thus doesn’t make sense).
Service cost is only used for profit and margin calculations within Katana and isn't sent to accounting.
Using services with QuickBooks Online
If you utilize QuickBooks Online with Katana, you can configure a separate revenue account(s) for services by using item categories. After applying a category to the service, you'll then need to connect the category to a revenue account in the QuickBooks Online configuration settings.
Note: If you're using the QuickBooks Online integration with inventory accounting, a journal entry to reduce inventory account value is not created for service items once the SO is delivered.
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