Case Studies
Fasig-Tipton Company, Inc.
Unlike traditional sellers, Fasig-Tipton does not buy or sell horses directly. Instead, the company earns revenue through commissions, entry fees, and related charges tied to auction events. This brokered-services model creates unique accounting requirements, where a single party may act as both buyer and seller across multiple transactions within the same auction cycle.
Challenges
The company faced three major challenges: migrating from a heavily customized legacy AS400 system under aggressive timelines, managing overlapping AR and AP balances for the same consignors within single auction events, and integrating a newly developed, client-facing auction portal with NetSuite in real time. The legacy system’s flexibility had enabled non-standard processes that needed to be re-engineered within a structured ERP environment, while any disruption to portal integration or transaction accuracy could directly impact live auctions involving hundreds or thousands of horses.
Transitioning from a Highly Customized Legacy IBM AS400 System
Fasig-Tipton operated for years on a legacy IBM AS400 system that had been heavily customized. While it supported the business historically, it lacked the structure, guardrails, and scalability of a modern cloud ERP platform. As support for the legacy system became unsustainable, the company had to accelerate its transition to NetSuite under tight timelines.
The complexity of their business model, particularly simultaneous AR and AP activity tied to auction events, made migration especially challenging. The legacy system’s flexibility had allowed for non-standard processes that needed to be thoughtfully redesigned within NetSuite.
Managing Simultaneous AR and AP Activity for the Same Entities
In Fasig-Tipton’s auction model, consignors can both sell horses and purchase horses within the same event. This creates overlapping receivable and payable balances that must be reconciled accurately and efficiently.
Standard ERP functionality does not natively support the nuanced netting requirements of such brokered transactions. The organization required a solution that could calculate net balances, present consolidated statements, and maintain accurate general ledger impacts across multiple sales.
Integrating a Custom-Built Auction Portal in Real Time
During the implementation, Fasig-Tipton was simultaneously building a custom, client-facing auction portal to manage registrations and sale results. This portal would serve as the operational front-end for auctions, while NetSuite would serve as the financial system of record.
Any integration failure could impact live auction events. Each auction may involve hundreds or thousands of horses, and transaction accuracy is critical. Fasig-Tipton needed a direct integration that could update records in real time, maintain transaction history, and control when general ledger transactions were created.
ERP Solution
The solution implemented Oracle NetSuite as a modern financial system tailored to Fasig-Tipton Company, Inc.’s complex auction model. Appficiency delivered custom auction tracking, automated AR/AP netting, and real-time portal integration to ensure accurate, controlled financial processing. The result is greater efficiency, stronger financial controls, and real-time visibility without disrupting live auction operations.
Custom Auction Tracking and Transaction Automation
Appficiency designed and implemented a custom Auction Tracking Record structure within NetSuite. These records store detailed information for each horse entered into a sale, including seller, buyer, and auction results.
The solution was architected so that auction results are captured first, and financial transactions are generated only once sales are finalized in bulk. This approach provided greater control over general ledger impacts while preserving complete historical tracking of changes.
By translating a non-standard, industry-specific business model into a structured NetSuite design, Appficiency enabled Fasig-Tipton to maintain operational precision while modernizing its financial backbone. As one executive noted, the team became “certified horse people” by the end of the project a reflection of the depth of understanding required to align technology with industry terminology and process.
AR/AP Netting and Consolidated Consignor Statements
To address overlapping receivable and payable balances, Appficiency built a custom AR/AP Netting Suitelet. This solution allows Fasig-Tipton to offset line-level balances between transactions by automatically generating credit memos and bill credits where appropriate.
In addition, custom Consolidated Consignor Statements were developed to present both AR and AP activity within a single, unified statement. These statements calculate the net position owed to or from a consignor across multiple sales and include relevant payments.
Statements are saved to the NetSuite file cabinet and made available to the customer portal, ensuring that external stakeholders always retrieve the most current version. This automation eliminated manual reconciliation processes, reduced the risk of error, and provided transparency to consignors participating in high-value auction transactions.
Finance Charge Automation and Specialized Check Processing
Fasig-Tipton required the ability to calculate customized finance charges based on how long balances remained outstanding. Appficiency developed a Finance Charges Suitelet that calculates overdue balances by customer and applies appropriate charges based on defined parameters. Additionally, because consignors require checks formatted with specific remittance details, such as horse, sale, and contract number, custom PDF templates were created to support reconciliation requirements unique to the industry.
A separate Consignor Bill Payments Suitelet was developed to override native NetSuite consolidation behavior, allowing the company to print individual checks per consignor and sale combination rather than a single consolidated payment.These enhancements ensured compliance with industry expectations while preserving NetSuite’s financial integrity.
Direct REST Integration Between Custom-Built Auction Portal and NetSuite
Appficiency implemented a direct REST API integration between Fasig-Tipton’s custom auction portal and NetSuite, enabling seamless data flow between the two systems. Buyers and sellers register and interact through the portal, where auction activity is captured in real time. Sale results are transmitted to NetSuite and stored within custom records, while financial transactions are generated only after finalization to ensure accuracy and control. This architecture provides real-time visibility into auction outcomes, allows the organization to control when GL-impacting transactions are created, preserves a complete audit trail of sale updates, and supports smooth operations during live auction events.
Ongoing Partnership Through Premier Support Services
Following a high-pressure go-live on July 1, 2025, Fasig-Tipton elected to continue its partnership with Appficiency through an ongoing Premier Support Services (PSS) engagement.
Given the complexity of their brokered auction model and the critical nature of live auction events, Fasig-Tipton prioritized post-implementation stability, responsiveness, and ongoing optimization. The Premier Support Services agreement ensures access to continued advisory support, enhancement management, and system refinements as new auction cycles and operational scenarios emerge.
Since go-live, the organization has successfully conducted multiple auctions with only minor adjustments, demonstrating the stability of the solution and the value of structured post-launch support. By extending the engagement beyond implementation, Fasig-Tipton reinforced its commitment to long-term modernization rather than a one-time system replacement.
The Results
The results of the project included a successful transition from the legacy AS400 system to NetSuite, establishing a modern and scalable ERP foundation. The organization now benefits from real-time integration between its custom auction portal and NetSuite, automated AR and AP netting for brokered transactions, and consolidated consignor statements across multiple sales. Financial controls were strengthened through controlled GL transaction generation and industry-specific finance charge automation. Since go-live, the team has successfully executed multiple auction events, and the partnership continues through ongoing engagement under Premier Support Services to support optimization and long-term success.
Testimonials
“Our business model doesn’t fit neatly into a typical ERP. We facilitate complex auction transactions where entities can be both buyers and sellers, and we were transitioning off a legacy system under pressure. Appficiency took the time to truly understand our industry and built solutions that allowed us to move forward with confidence.”
“Given the complexity of our auction model, post-go-live support was critical. Premier Support Services gives us the stability and responsiveness we need as we continue running high-value auctions. It reinforces that this is a long-term partnership”
Joe Smith,
CFO, Fasig-Tipton Company Inc.
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