How To: Locations – What Are They & How Do You Set Them In Microsoft Business Central

Use business central to setup A trading company that buys and sells products that will need to define Locations to store them and track their movement. In other words, locations are used as physical locations where you will track your inventory.

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To create a new location, choose the search icon  at the top right of the screen, type “locations” and choose the Locations link on the search results.

The Locations list opens, press New to create a new location. Fill in the new location code and description.

The Use as in-Transit field defines if the location is a normal inventory location or a location used when you want to transfer goods between two locations.

In the next fast tab Address & Contact fill in the communication information of the location. 

The location is created but in order to use it you will need to set the Inventory Posting Setup for this location. Press Location and then Inventory Posting Setup action.

The Inventory Posting setup page will open, press new to create a new line and choose the Inventory Posting Group Code and fill in the description. Then choose the G/L accounts for Inventory, Inventory Interim, WIP and Material variance.

The inventory account is the stock account in your chart of accounts that this location will be posting into. The location is now ready to use.

In the next fast tab Address & Contact fill in the communication information of the location. 

There is of course additional functionality for locations for advanced warehouse processes. On the location card you can also define these additional setups.

If you want to use bins then you will need to create them per location and then fill in the setup on the Location card in the Bins and Bin Policies  Fasttabs.