What is Invoice?
An invoice is a commercial document issued by a seller to a buyer, that is related to a sale transaction may include the products, quantities, and rate of products or services the seller had provided the buyer.
Purpose of invoice
The main Purpose of invoice is used to create proper accounting that is useful for the both seller and buyer to keep track of their payment and amount owned.
- Maintaining records
- Payment tracking
- Legal protection
- Easy tax filing
- Business analytics
Necessity of Invoice
Invoices serve as legally enforceable agreements between a business and its clients, as they provide documentation of services rendered and payment owed. Invoices also help businesses track their sales and manage their finances.
Evolution of invoices
- Hand-written invoices
- Electronic invoices
- Online invoices
- Mobile invoices