Click Accounts payable> Setup> Vendor groups .

In the Vendor groupfield, enter a unique identifier for the vendor group.

In the Descriptionfield, enter a short description of the vendor group. This is not a mandatory field.

In the Terms of paymentfield, select the terms of payment that apply to vendors that are assigned the selected vendor group. This is not a mandatory field, but terms of payment are part of managing your vendor accounts and are strongly recommended.

For more information, see Terms of payment (form).

In the Settle periodfield, select the standard interval between the due date for payments to vendors in the selected vendor group, defined by the Terms of payment, and the date on which the payments are drawn from your bank account. This is not a mandatory field, but is important for liquidity calculations that are based on the cash flow forecast.

For more information, see Cash flow and currency requirements.

To define ledger accounts for automatic ledger transactions that are related to the receipt of inventory from vendors in the selected vendor group, click Setup> Inventory postingand define the accounts.

For more information, see Inventory posting (form).

To set up default ledger accounts for vendors in the selected vendor group, click Setup> Default account setupand define the accounts.

For more information, see Default account setup (form).

To set up a sales forecast that applies to the vendors in the vendor group, click Forecast.

For more information, see Purchase forecast (form).