Invoice and Receipt Are Not The Same

Most people confuse these two business documents "ïnvoice" and "receipt." But they are not the same thing.Let me show you how!

An invoice is issued BEFORE payment is received.
A receipt is issued AFTER payment is received.An invoice is a request. When you send an invoice, you are simply requesting payment from your customer.
A receipt is proof of payment. You are telling your customer "I have collected money from you."The "invoice" and "receipt" are very important business documents that should not be mixed up.The invoice is used to track sales.
The receipt is used to track monies received.You have made sales doesn't necessarily mean you have collected payment.Please, do not mix them up.

A brief example:Oma sells dresses at 5,000 naira. James wants to buy 3 dresses for his sister.
Oma sends James an invoice of 15,000 (3 * 5,000).James sends her 10,000 and plans to balance her 5,000 after the dresses are sewn.
Oma receives his payment and sends a receipt of 10,000.Did you see that?
Oma made sales of 15,000 but she collected only 10,000.So, James is currently owing her 5,000.The invoicing software Oma uses will record the remaining 5,000 as a debt until James pays.I hope we understand the difference now.

At Track and Record, we help individuals and businesses like you sort out your tracking and recordkeeping problems.Do you need to track those owing you?
We can help you do that so you recover your money fast.Do you have a lot of clients and need to track your sales?
We can help you make invoices and send it to your monthly clients.We can help you capture transactions and send you a report -- debtors report, sales report -- at the end of the month.We can help you take your manual records and enter them into a computer for you.Explain to us what data struggles you have and let’s talk about how we can help you with it.Send us a WhatsApp message here.