> ## Documentation Index
> Fetch the complete documentation index at: https://docs.techfootintl.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Customer SL

> Understanding the Customer Subsidiary Ledger (SL).

## What is a Customer Subsidiary Ledger (SL)?

The **Customer Subsidiary Ledger (SL)** is a detailed record of all financial transactions between your business and an individual customer. It provides a historical "running balance" that shows every invoice, payment, credit note, and debit note.

### Why the SL is Important

While the General Ledger shows the total amount owed by *all* customers, the **Subsidiary Ledger** allows you to see the specifics for *each* customer. This is essential for:

* Resolving billing disputes.
* Checking a customer's payment history before extending new credit.
* Auditing individual account accuracy.

### What’s in the Customer SL?

Each entry in the ledger typically includes:

* **Date:** When the transaction occurred.
* **Transaction Type:** Invoice, Payment, Credit Note, Debit Note, etc.
* **Reference No.:** The document number (e.g., Inv #1234).
* **Debit:** Increases to the customer's debt (Invoices, Debit Notes).
* **Credit:** Decreases to the customer's debt (Payments, Credit Notes).
* **Balance:** The cumulative amount the customer owes after that transaction.

<Tip>
  Regularly sending a "Statement of Account" (which is essentially a copy of the SL) to your customers helps ensure both parties agree on the outstanding balance.
</Tip>