Multi-currency support
In one sentenceThe system's ability to record invoices and accounts in different currencies, converting them to the base currency at the exchange rate and calculating currency differences.
Simply put
An importer buys in dollars and euros and sells in riyals. A system that supports multi-currency keeps the amount in its original currency and in SAR together.
On payment, the system calculates the exchange difference and posts it to its account, and shows the supplier statement in the supplier's currency so it matches the supplier's own statement.
Example
A company imports auto parts from abroad in the supplier's currency, so it records the invoice in that currency at that day's exchange rate; the supplier's account then shows in its currency and in SAR, and the currency difference is calculated automatically on the payment day.
Don't confuse it with
Multi-company managementMulti-currency is within one business, while multi-company means independent businesses in one system.