How to create a product in Kleer
The product controls which revenue account the amount is booked on, and which VAT is applied. Register it correctly.
The product decides which revenue account the amount is booked on, and therefore also which VAT is applied. A product that is registered incorrectly gives wrong accounting on every invoice where it is used, so it is worth spending time on it when you create it.
Products are under Settings > Products.
The fields
| Field | What it controls |
|---|---|
| Name and alias | What the product is called on the invoice |
| Article number | Your own article number, which is included on e-invoices (EDI) |
| General ledger account | All revenue from the product is booked here |
| VAT for domestic sales | The VAT rate for Swedish sales |
| Standard price | Suggested when invoicing, and can be overwritten |
The VAT is determined automatically from the account, so the account is what really controls it. In addition to domestic VAT there are separate VAT codes for EU and Export, which are used when the customer is outside Sweden.
Recurring revenue
Tick Recurring revenue if the product should be counted in calculations of recurring revenue, that is MRR and ARR.
It is easy to overlook, and the effect is not seen on the invoice but in the reports. If you miss it, SaaS MRR bridge becomes misleading without anything looking wrong.
Revenue accrual
The product can carry an accrual principle, so that the revenue is spread over time instead of being taken in full at invoicing. See Revenue accrual on a product.
Subcontractors and internal invoices
Two check boxes that decide where the product may be used, and that both have their own account:
Can be used by subcontractors is required for the product to be linked to an activity that a subcontractor reports time on. You then also need General ledger account self-billing invoice, where the costs from self-billing invoices are booked. Both must be in place before the first customer invoices are created. See The subcontractor module.
Can be used for internal invoices, with its Bookkeeping account internal invoice, controls the equivalent for invoicing within the group.
Closing a product
Products are not deleted, they are closed. The list is filtered on Active and Inactive.
If you try to close a product that is in active ongoing agreements, Kleer tells you which agreements it concerns. Do not close it without first having reviewed the agreements, otherwise they stop working at the next invoicing.