Pay a vendor in advance

Last updated: June 20, 2026

Learn the concept
This is the step-by-step. For what it is and how it fits the bigger picture, read Bill Payments in the reference.

What this does

Use Vendor Prepayment to pay a vendor before they bill you. Cloudby holds the advance as a Vendor Deposit, ready to apply to bills later.

Before you start

You need the vendor, and the account the money leaves.

Open Vendor Prepayment

Go to Menu > Finance > Vendor Prepayment.

Steps

  1. Click Create and pick the Vendor.
  2. Enter the Amount, a Description and the Date.
  3. Set Issue By and the Issuing Account, with Payment Details.
  4. Use Make Payment to pay it, and Approve when ready.
Vendor DepositsVendorVendor: ABC Supplies▾Amount5,000.00Issuing AccountMaybank▾Utilisation1500 of 5000 usedMake Payment
A vendor deposit simplified mockup

Using the advance later

Open the deposit and choose Utilise Deposit to apply it to a vendor bill, or Refund Deposit to get unused money back. A bar shows how much is left.

Good to know. The advance sits in your Vendor Deposit account (an asset) until you utilise or refund it.

Related

  • Pay a bill
  • Take a customer deposit