Invoice
Also known as: Bill
An invoice is a document a supplier issues to a buyer requesting payment for goods or services delivered, listing what is owed and the terms.
An invoice states the supplier and buyer details, a unique invoice number, the items or services supplied, quantities, prices, taxes, the total due and the payment terms. It is the formal request for payment and a key accounting record for both parties.
In procurement, invoices are validated against the purchase order and goods received note before payment. Consolidated invoicing — one invoice covering many orders — reduces the volume of documents finance teams must process when buying across many categories through a single platform.
Frequently asked questions
- What is an invoice?
- An invoice is a supplier's formal request for payment, listing the goods or services delivered, quantities, prices, taxes, total due and payment terms.
- What is the difference between an invoice and a purchase order?
- A purchase order is issued by the buyer to order goods. An invoice is issued by the supplier afterwards to request payment for those goods.
Related terms
Invoice Matching
Invoice matching is the process of checking a supplier's invoice against the related purchase order and receipt before approving it for payment.
Read definitionAccounts Payable (AP)
Accounts payable (AP) is the money an organisation owes its suppliers for goods and services received but not yet paid for, and the team that manages those payments.
Read definitionConsolidated Invoicing
Consolidated invoicing combines many individual orders or suppliers into a single invoice, reducing the volume of documents a finance team must process.
Read definitionExplore related across the knowledge graph
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Operating model · diagram
- 01
AI-first software
AI-first procurement software for long-tail spend
- 02
Live marketplace
A live B2B marketplace
- 03
Human services
Human sourcing and support
- 04
Optional add-on
Fulfilment support for merchants