Intuit couldn't help so I'm hoping someone using Quickbooks can.
Scenario: We sold some software licenses to a customer for £50,000, so we invoiced them for £50,000 (includes sales tax - VAT). We have to buy those licenses from a software distributor and make a small margin, e.g. buy for £48,000 (inc VAT). We raised a PO for £48,000 to the Distributor and they raised an invoice back to us for the same.
Due to the amounts involved, the Distributor wanted the invoice payment assigned to them. So, the customer paid the distributor the £50,000 directly then the Distributor paid us the difference (£2K).
How do I complete the transactions in Quickbooks so that I show a revenue of £50,000 from the customer, costs of £48,000 to the distributor leaving a margin of £2,000 for us?
Any help would be greatly appreciated.