Overview
Credit control protects your business from overdue receivables. Assign credit limits to customers and companies, then let EDGE Sword warn or block new orders when exposure exceeds policy. Exposure includes balances from open invoices and, when enabled, uninvoiced orders awaiting fulfillment through picking and orders.
Set a credit limit
- Open the customer or company record
- Go to the Finance or Credit tab
- Enter Credit limit and optional Payment terms (workspace defaults live in Payment settings)
- Save — open invoice balances count toward the limit immediately
Limits can be currency-specific when you operate in multiple currencies.
How exposure is calculated
| Balance component | Counts toward limit? |
|---|---|
| Open invoices (confirmed, unpaid) | Yes |
| Draft invoices | Usually no |
| Unallocated customer credits | Reduces exposure |
| Orders not yet invoiced | Yes, when Include open orders is enabled |
Enforcement actions
When a customer exceeds their limit, EDGE Sword can:
- Show a warning on order creation
- Require manager override
- Block new orders until balance is reduced
Configure the behavior under Settings → Finance → Credit control.
Please note:
- Payment terms and credit limits are evaluated in the customer's billing currency; multi-currency workspaces should align limits with how payments and receipts are recorded.
flowchart TD
A[New order or invoice] --> B[Load customer balance]
B --> C[Add open orders + invoices]
C --> D{Within credit limit?}
D -->|Yes| E[Allow transaction]
D -->|No| F{Policy action}
F -->|Warn| G[Show warning, allow override]
F -->|Block| H[Reject until paid down]
E --> I[Update exposure on confirm]
Collections workflow
Review Aging and Credit hold reports regularly. Pair credit limits with payment reminders and workflows so accounts approaching their ceiling are contacted before orders are blocked. Trade accounts from Vendors and FMCG customers share the same exposure rules when route orders confirm before invoicing. Posted payments reduce exposure immediately — see Accounting and capital when ledger mappings tie receivables to your chart of accounts.
Credit control settings require credit_control permissions to change; sales users typically see warnings but cannot raise limits without approval. Limit changes are governed by roles, permissions, and RBAC — approvers need credit_control.update to raise a customer's ceiling.