This is what happens in the video
Rental Management in Microsoft Dynamics 365 Business Central lets you handle rental scenarios using the standard sales order for invoicing combined with transfer orders for inventory handling. You start with a sales order or quote, then swap the rental line to convert the item into a resource that charges per rental day.
When you confirm a rental, the system charges based on the number of rental days multiplied by the quantity. If you rent two Segways for eight days, you are charged for 16 days at the daily rate. If you prolong the rental period, the quantity increases automatically for every extra day.
The system creates an outbound transfer order to ship the goods to the customer and an inbound transfer order for when the items come back. This keeps your inventory accurate and lets you control the rental period.
How Rental Management uses sales orders for invoicing
Rental Management uses a standard sales order for the invoicing part. You begin by creating an item number for whatever you want to rent out. In this scenario, that item is a Segway, and you want to rent out two of them for a set number of days.
You can send this as a quote to your customer with whatever price you want for renting it out. When the customer accepts the quote, you swap the rental line in the order.
Converting the rental line to a resource for daily charging
Swapping the rental line changes the sales order line to a resource. From that point, the quantity reflects the number of rental days rather than the number of physical items.
If you rent two Segways for eight days, you are charged for 16 days. The price is set per day, so the total comes from the daily rate multiplied by the number of rental days. If you prolong the rental period, the quantity increases for every additional day, and the customer is charged accordingly.
Using transfer orders for inventory handling
Alongside the resource line for invoicing, the system creates one or two transfer orders depending on your setup. The rental line generates an outbound transfer order for shipping the goods to the customer, or simply for registering in your inventory that the items have shipped.
The items move from one location, where you store your rental goods, to another location used for handling whatever is out of your inventory and on the customer side. When you post this, your inventory reflects that the items are gone.
The system also creates an inbound transfer order for when the item comes back. This is how you control the rental period, including running periods where the end date is not fixed in advance.
How the two parts work together
The setup splits the work between two document types. The sales order line with resources handles the invoicing part, charging per rental day. The transfer orders handle the item movement on inventory, both out to the customer and back again.
Q&A
How does Rental Management calculate the rental charge?
The charge is based on the number of rental days multiplied by the quantity rented. For example, two Segways rented for eight days result in a charge of 16 rental days at the daily rate.
What happens if the customer prolongs the rental period?
The quantity increases automatically for every extra day the rental is prolonged, so the customer is charged for the additional days at the daily rate.
How does Rental Management keep track of inventory?
It creates an outbound transfer order that ships the goods to the customer and registers them as gone from your inventory, and an inbound transfer order for when the items come back. The items move between the location where you store rental goods and a location used for items that are out with the customer.
Which documents does Rental Management use for rentals?
It uses a sales order line with resources for the invoicing part and one or two transfer orders for the item handling on inventory, depending on your setup.