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description: A Territory is a geographical region you do business in.
---

# Territory

In ActiveBooks, a Territory is used to classify Customers, Addresses, in accounting report, and to allocated sales targets.

To access the Territory list, go to:

> Home > Selling > Settings > Territory

### 1. How to create a Territory[ ](https://docs.erpnext.com/docs/v13/user/manual/en/selling/territory#1-how-to-create-a-territory) <a href="#id-1-how-to-create-a-territory" id="id-1-how-to-create-a-territory"></a>

1. Go to the Territory list, click on New.
2. Tick 'Group Node' if there'll be sub-territories under this Territory. For example, France is a group Territory and Paris is a sub-territory.
3.  Save.

    <img src="https://docs.erpnext.com/files/territory-list.png" alt="Territory List" data-size="original">

You can add multiple sub-territories under a parent territory. On saving, a territory can be selected in transactions and reports.

### 2. Features[ ](https://docs.erpnext.com/docs/v13/user/manual/en/selling/territory#2-features) <a href="#id-2-features" id="id-2-features"></a>

#### 2.1 Assigning a Territory manager[ ](https://docs.erpnext.com/docs/v13/user/manual/en/selling/territory#21-assigning-a-territory-manager) <a href="#id-21-assigning-a-territory-manager" id="id-21-assigning-a-territory-manager"></a>

You can assign a Territory Manager who looks after the Sales of of this region. This isa

#### 2.2 Setting Sales Targets[ ](https://docs.erpnext.com/docs/v13/user/manual/en/selling/territory#22-setting-sales-targets) <a href="#id-22-setting-sales-targets" id="id-22-setting-sales-targets"></a>

Here you can set specific sales targets based on the following fields:

* Item Group
* Fiscal Year
* Target Qty
* Target Amount
* Target Distribution

![Territory Target](https://docs.erpnext.com/files/territory-target.png)

To know more about setting sales targets, visit the [Sales Person Target Allocation](https://docs.erpnext.com/docs/v13/user/manual/en/selling/sales-person-target-allocation) page

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