What is the proper way to record Reimbursements & Reimbursable Expenses

Dear all,

I’m running a Freight Forwarding business and we often incur Reimbursable Expenses which we pay on behalf of our clients to 3rd parties and we would bill these expenses to our client at cost (no markup) on top of our fees for freight forwarding services.

What should be the proper way to record these reimbursable expenses and reimbursements from our clients?

Our software vendor suggested to post the reimbursable expenses as COSS (cost of services sold) and the reimbursements from our clients as negative COSS? Would this be the correct way?

Thanks for any help.

Ed