Intercompany Sales Using D365 Business Central

If your organization operates across multiple business units or companies and you’re still manually coordinating sales between them, there’s a better way. Dynamics 365 Business Central has built-in intercompany transaction functionality that can automatically generate purchase orders and invoices on the receiving side, the moment you post a sale on the sending side.

In this session, Lewis Rosenberg demonstrates how this works. Whether you’re new to the concept or just looking to tighten up your current setup, this is a practical, no-fluff walkthrough.

Key Takeaways

• Start with intercompany setup for both companies: You need to configure IC settings on your selling company and your purchasing company separately. On the selling side, you assign a partner code, enable auto-send, and define the customer tied to that IC partner. On the purchasing side, you set up the selling company as your IC partner, define the vendor, and enable auto-accept. Both sides talk to each other through that shared setup.
• Auto-send and auto-accept skip the manual queue: Without these enabled, outbound transactions from the selling company land in an outbox waiting for manual action, and inbound transactions on the purchasing side sit in an inbox. With both turned on, the process is fully automated. Documents never pile up in either box. The handled outbox and handled inbox still log everything, so you keep a clean audit trail without the manual handoff.
• Item, dimension, and chart of account mapping is available but optional: If your two companies use different item numbers, dimension codes, or GL accounts, Business Central lets you set up cross-references and mapping tables so transactions translate correctly across entities. In cases where everything is already standardized across companies, like in this demo, you can skip that step entirely and go straight to transacting.
• Posting a sales order triggers everything downstream automatically: Once you release and post a sales order on the selling side, choosing to ship and invoice simultaneously, Business Central automatically creates both a purchase order and a purchase invoice on the purchasing company. No manual entry. No email back and forth. The receiving company just opens its purchase orders, and the document is already there, ready to be received.
• External environment setups are also possible: This demo covers companies within the same Business Central environment, but the platform supports intercompany transactions with external environments, too. That setup involves a few additional configuration steps around external vendor definition, but the core logic is the same.

This kind of automation is exactly what Business Central is built for, and configuring Business Central for automated replenishment follows a similar philosophy of letting the system do the work once the setup is right. If you’re thinking about broader data flows between companies or systems, getting started with APIs and data integration in Business Central is a natural next step.