Invoicing

Create, send, and collect invoices.

Chargeback

Money a card processor takes back from you after a customer disputes a card payment with their bank. Usually comes with a separate dispute fee.

Shipment date

The date inventory left the business for delivery to the customer.

Quote date

The date a quote or estimate was issued to a prospective customer.

Service date

The date goods were delivered or services were performed, when that differs from the document date.

Sent date

The timestamp when an invoice, quote, reminder or message was actually sent.

Invoice date

The date an invoice is issued and, on accrual basis, revenue and receivables are recognized.

Revenue

What you earn from customers before any costs: product sales, services, shipping charged. The top line of the Income statement.

Customer statement

A summary of one customer’s invoices, payments and balance due over a period.

Deposit

Money arriving in a bank account. One deposit may cover several customer payments, minus fees, so a deposit is not the same as a payment.

Processor fee gross-up

When a bank deposit is net of fees, the app records the full sale and the fee separately instead of a smaller sale.

Processor fee

What Stripe, Square or PayPal keep from a card payment. Booked as an expense so revenue stays gross.

Payment link

The hosted page a customer opens from an invoice email to pay by card. Powered by your connected Stripe account.

Shop-origin invoice

The invoice created automatically when a customer buys through your storefront. Same books as a manual invoice, different origin.

Loyalty points liability

What outstanding loyalty points are worth if every customer redeemed them. Redemptions post as contra-revenue, never as cash.

Store credit

A refund issued as credit the customer can spend with you later. A liability, not cash.

Write-off

Giving up on an invoice that will not be paid. Removes the receivable and books the loss as bad debt.

Credit memo

A document reducing what a customer owes without returning cash, such as a discount after the fact or a goodwill adjustment.

Refund

Money returned to a customer. Recorded as a negative payment against the original so the invoice’s net stays right.

Overpayment

A payment larger than what the invoice owed. The excess is money you hold for the customer, not revenue.

Partial payment

A payment for less than the invoice balance. The invoice stays open with the remaining amount due.

Payment

Money received against an invoice, by card, bank transfer, check, cash or other method. Clears the receivable.

AR aging

Unpaid invoices bucketed by how overdue they are: current, 1–30, 31–60, 61–90 and over 90 days.

Accounts receivable

Invoices you have sent that customers have not paid yet. An asset, because the money is coming.

Quote

A price proposal. Looks like an invoice but books nothing until the customer accepts and you convert it.

Invoice status

Where an invoice is in its life: draft, sent, paid, or cancelled. Overdue is not a status — it is a sent invoice past its due date.

Invoice

Your request for payment. Sending one books revenue and a receivable; the customer pays through the hosted link.