Multiple Currencies: Running an international business just got easier
If you have international sales teams, and your deals happen in more than one currency, then we have good news for you! Vtiger now supports Multiple Currencies with currency localization – meaning your sales teams in different countries input monetary values in their local currencies while creating opportunities, quotes, invoices, or any other record, and viewers of CRM records automatically see the value of transactions in their local currency
Let’s assume a hypothetical scenario to understand how a businesses would operate a CRM that doesn’t support multiple currencies: Mark Hale, the CEO of Grasspods, headquartered in the USA, also has sales teams located in Australia, India, Japan, and Germany. Every time an international sales associate creates a new opportunity or wins a deal, the amount is input in the CRM assuming his or her local currency. So, the Australian sales team creates an opportunity with an amount in Australian Dollars (AUD), and the Indian sales team does a deal in Indian Rupees (INR). However, because Mark is in the US, he wants to generate a consolidated report showing the total revenue across the regions in a comparable amount (USD). The regional sales and accounting teams are forced to put in extra effort and time to manually convert the local currency value into USD to make amounts comparable.
With the introduction of Multiple Currency, accounting and finance teams, or international sales teams have to no longer go through this manual currency conversion ordeal. Instead, they can create records like Opportunities, Quotes, Sales Orders, Purchase Orders, Invoices, Subscription, Product value, and Service Cost in their regional currency. All the while, managers in other countries can see these records and generate reports in their local currency to compare the performance of each region.
Let’s go back to the Grasspods’ scenario we outlined earlier. With multiple currency support every region sets its own preferred currency for currency fields in Vtiger. The Grasspods’ sales team in India can input Indian Rupees (INR) amounts on records like Opportunities, Quotes, Sales Orders, Purchase Orders, Invoices, Subscription, Product value, and Service Cost. When Mark in the USA opens these records or generates reports from them, they are automatically shown in USD alongside the INR amounts.
Since each regional sales team can now just enter their local currency when creating CRM records, sending automated payment reminders and invoices showing the currency that their customers want to see just got easier. When Grasspods’ Australian customer receives a payment reminder, he/she will see the amount in Australian dollars (AUD) and Japan’s accounting team can issue an invoice in Yen (JPY). Again, the sales and accounting teams put no manual effort to convert base currency to the preferred currency.
Read our Multiple Currency documentation to find out how to add more regional currencies to your Vtiger account and use them while creating records. If you have any questions related to using multiple currency feature or any other feature for that matter, please feel free to comment below or write to us at support@vtiger.com
*Key currency terms
- Base currency: This is the corporate currency used for reporting by the Organization headquarters. This also serves as the base for all currency conversion rates. Base currency is set initially during sign up process to the user’s geo location currency. For example, user signing up from US is set to USD as the base currency.
- Preferred currency: In addition to base currency, each user gets to choose his preferred currency which is used for showing report, sales insights and forecast aggregates.
