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The cycle of the documents

A sale leaves a paper trail. The module arranges it in four pieces that follow one another — the quotation, the order, the invoice, the settlement — and a fifth one that repairs: the credit note. This page says in which order they come and what each one adds.

The ordinary chain

Piece What it commits What it produces
Proforma invoice (quotation) Nothing: a priced proposal A purchase order, if the customer accepts it
Purchase order The sale: the customer has committed Invoices, deliveries, deadlines
Invoice The claim: the customer owes you Settlements, a deadline
Settlement The cashing The balance of the document it aims at

Every piece keeps the link to the one it was born of: an order names its Source quotation, an invoice names its Source document, a settlement names its Document. The chain therefore reads both ways.

Three possible entries

The quotation is not compulsory. The module knows four origins to an order: direct entry, a quotation or proforma, the point of sale and the online sale.

Invoicing is not all or nothing

An order does not necessarily give one invoice. It gives as many as are needed: down payment, advance, situation, balance invoice, final invoice or partial final invoice, as an amount or as a percentage. The order therefore carries an invoicing status of its own — Not invoiced, Partly invoiced, Fully invoiced — apart from its settlement status.

See Generate an invoice.

Where the credit note fits in

The credit note does not come after the invoice in the chain: it comes against it. It is a piece of the opposite sense, backed onto an original invoice, repairing what that invoice said too much of.

The module knows seven natures of it: the full cancellation and the partial cancellation of an invoice, the rabais, the remise, the ristourne, the escompte and the correcting credit note.

Two consequences are worth remembering:

  • A credit note lowers the turnover — except the escompte, which is a financial discount for early payment and not a commercial reduction: that one stays out of the computation.
  • An invoice a credit note repairs is not wiped out. Both pieces remain, and it is their balance that says what is left owed.

A ristourne may also be born on its own, with no original invoice, out of the list of the credit notes. See Create a credit note.

What is settled, and what is balanced

A settlement is allocated to a document — order, invoice or receipt — and tracked until the balance is nil. The module tells the cashing from the refund: refunding means recording a settlement of the opposite sense, never deleting the one that was received.

An order carrying a payment condition further bears deadlines, each with its due date and what is left to collect. See Track the deadlines.

What next?

Changelog

  • 1.0 (August 27, 2026): document created.