What is an opening balance? #
A contact’s opening balance is the amount they already owed you — or you owed them — before vFile started tracking their account. Recording it makes the Partner Ledger and dues correct from the very first day.
Adding an opening balance #
- While creating the contact, fill in the Opening Balance field, or
- Open an existing contact from vfile.app/contacts and edit it to add/adjust the opening balance.
Worked example #
You are starting with vFile today, and a customer Rana already owes you ₨70,000 from before.
- You open Rana’s contact and enter an Opening Balance of ₨70,000 (he owes you).
- His ledger now starts with that ₨70,000 as its first line.
- You bill him a new ₨30,000 sale — his balance becomes ₨100,000 due.
- He pays ₨50,000 — his balance drops to ₨50,000. The old debt and new activity live together correctly.
What this affects #
- Ledger & balance due — the opening balance is the first line of the ledger and is included in the balance due from day one.
- Payments — you can receive money against an opening balance just like against an invoice.
- An opening balance is a starting figure, not a sale — it does not affect stock or create an invoice.
Frequently asked questions #
Do I enter old unpaid invoices one by one, or just an opening balance?
For a clean start, enter a single opening balance for what they owe. Only re-enter individual old invoices if you specifically need each one listed.
The contact owed ME money — how do I record that?
Record the opening balance so it shows as a credit (CR) — meaning your company will pay them.
I entered the wrong opening balance — can I fix it?
Yes, edit the contact and correct it, ideally before much activity has built up on the account.