ayayay Posted July 16, 2008 Share Posted July 16, 2008 I know what an invoice is, but when is the usual time to send out an invoice, and how? For example if i sell a product to a customer, lets say i plan to start to sell jeans over internet to customers here in Thailand. Do i send an invoice together with the actual jeans, so when the customer receives the jeans he/she will also get an invoice along with the package, or is it common to make a copy of the invoice and send it via email instead? And what is an order confirmation, is it necessary to use? Or is it not so common that companies use that? I also wonder, what about purchase orders, what is the function of such a thing, it seems only some companies are using it? What happened with the good old way of just calling them up and say, i want to buy 2 pair of jeans? Link to comment Share on other sites More sharing options...
nonthaburial Posted July 16, 2008 Share Posted July 16, 2008 A purchase order from your customer is written proof that he has made an official order from you, a telephone order is worthless. As for the invoice, it should be sent prior to shipping the goods with the explanation the invoice must be paid prior to shipping Hope that helps Link to comment Share on other sites More sharing options...
CWMcMurray Posted July 16, 2008 Share Posted July 16, 2008 The invoice should also be sent at the time of shipping as well, it will be needed for customs purposes. Link to comment Share on other sites More sharing options...
teacup Posted July 16, 2008 Share Posted July 16, 2008 I know what an invoice is, but when is the usual time to send out an invoice, and how?Up to you: before U send out the good Including in the packing package with the good Or after they have received the good For example if i sell a product to a customer, lets say i plan to start to sell jeans over internet to customers here in Thailand. Do i send an invoice together with the actual jeans, so when the customer receives the jeans he/she will also get an invoice along with the package, or is it common to make a copy of the invoice and send it via email instead? In Thailand: I would insist all the goods to be paid upfront first. And what is an order confirmation, is it necessary to use? Or is it not so common that companies use that? Order confirmation: well this has 3 purposes/uses -Confirmation of their order - from them -Confirmation of their order - acknowledgement from you that you have received their order -Or confirmation from you that yes you do have the item in stock and ready to ship, not back order I also wonder, what about purchase orders, what is the function of such a thing, it seems only some companies are using it? What happened with the good old way of just calling them up and say, i want to buy 2 pair of jeans? Purchase order - there are 2 types Seller purchase order - seller orders to buy things from other sellers - in writing in a formal form Buyer purchase order - buyer orders to buy from seller - in writing in a formal form Hope these help Link to comment Share on other sites More sharing options...
ayayay Posted July 17, 2008 Author Share Posted July 17, 2008 The invoice should also be sent at the time of shipping as well, it will be needed for customs purposes. Ah, so you are suggesting that 2 copies of the invoice should then be sent? And also, now you are talking about shipping goods in and out of Thailand, right? Link to comment Share on other sites More sharing options...
ayayay Posted July 17, 2008 Author Share Posted July 17, 2008 I know what an invoice is, but when is the usual time to send out an invoice, and how?Up to you: before U send out the good Including in the packing package with the good Or after they have received the good For example if i sell a product to a customer, lets say i plan to start to sell jeans over internet to customers here in Thailand. Do i send an invoice together with the actual jeans, so when the customer receives the jeans he/she will also get an invoice along with the package, or is it common to make a copy of the invoice and send it via email instead? In Thailand: I would insist all the goods to be paid upfront first. And what is an order confirmation, is it necessary to use? Or is it not so common that companies use that? Order confirmation: well this has 3 purposes/uses -Confirmation of their order - from them -Confirmation of their order - acknowledgement from you that you have received their order -Or confirmation from you that yes you do have the item in stock and ready to ship, not back order I also wonder, what about purchase orders, what is the function of such a thing, it seems only some companies are using it? What happened with the good old way of just calling them up and say, i want to buy 2 pair of jeans? Purchase order - there are 2 types Seller purchase order - seller orders to buy things from other sellers - in writing in a formal form Buyer purchase order - buyer orders to buy from seller - in writing in a formal form Hope these help Ok, yes it helps a lot, thanx, about order confirmation, is it common that companies use it, or is it just as common that companies dont use it? And, do i send it out before i send out the invoice, or together, and do i send it by email or regular mail? What is most common? About Purchase orders, would it be necessary for me to use a purchase order if i only want to buy some stationaries such as a few sheets of paper some file folders, and some pens from a company, or is PO usually only used when purchasing larger or more expensive goods? Link to comment Share on other sites More sharing options...
teacup Posted July 17, 2008 Share Posted July 17, 2008 (edited) Ok, yes it helps a lot, thanx, about order confirmation, is it common that companies use it, or is it just as common that companies dont use it?Absolutely, if it’s my company, or when I'm ordering the product as a customer And, do i send it out before i send out the invoice, or together, and do i send it by email or regular mail? What is most common? Of course, waay before the invoice By email - most preferable - easy, free, and less paperworks About Purchase orders, would it be necessary for me to use a purchase order if i only want to buy some stationaries such as a few sheets of paper some file folders, and some pens from a company, No need - for regular and small amount of daily office supplies - just keep the sale receipt for evidence or is PO usually only used when purchasing larger or more expensive goods? Yes..... if you want to write up the paperworks I wouldn’t do it myself - let the seller do it on their sale receipt/order, and then you can get a copy of it. Look over...... the description area carefully to make sure that is the specific item you want - like….color, series, size, and other very detail information concerning the product you’re buying,…..because sometimes it will be difficult to return the items Look over...... the payment method , payment schedule, and return policy carefully Edited July 17, 2008 by teacup Link to comment Share on other sites More sharing options...
ayayay Posted July 19, 2008 Author Share Posted July 19, 2008 Ok, yes it helps a lot, thanx, about order confirmation, is it common that companies use it, or is it just as common that companies dont use it?Absolutely, if it’s my company, or when I'm ordering the product as a customer And, do i send it out before i send out the invoice, or together, and do i send it by email or regular mail? What is most common? Of course, waay before the invoice By email - most preferable - easy, free, and less paperworks About Purchase orders, would it be necessary for me to use a purchase order if i only want to buy some stationaries such as a few sheets of paper some file folders, and some pens from a company, No need - for regular and small amount of daily office supplies - just keep the sale receipt for evidence or is PO usually only used when purchasing larger or more expensive goods? Yes..... if you want to write up the paperworks I wouldn’t do it myself - let the seller do it on their sale receipt/order, and then you can get a copy of it. Look over...... the description area carefully to make sure that is the specific item you want - like….color, series, size, and other very detail information concerning the product you’re buying,…..because sometimes it will be difficult to return the items Look over...... the payment method , payment schedule, and return policy carefully Aha, so you are suggesting there is no need to issue a PO, but instead let the seller make a detailed receipt? But then, i do not understand the function of the PO, because IF you order something and then get a receipt, and it does not match what you ordered in the first place, then what happens? Isn´t that the exact function of the PO? I mean, the PO should come before the receipt, once the receipt is printed out, its already "too late"? Link to comment Share on other sites More sharing options...
dotcom Posted July 19, 2008 Share Posted July 19, 2008 (edited) Whoa. You are the seller. The buyer issues you a purchase order. This confirms how many items, what size, what color & the price per item. This is because the buyer & his accounts dept might not be the same person. The PO is signed by a very senior person. You then send an acknowledgement that you agree to the terms of the PO. Once the goods are sent you submit your invoice to be paid. A receipt (which you only just now mention) is issued by you once you have received the funds. So simple isn't it? & Yes these things are the normal way of conducting business. (by professionals). Edited July 19, 2008 by dotcom Link to comment Share on other sites More sharing options...
CWMcMurray Posted July 19, 2008 Share Posted July 19, 2008 (edited) The invoice should also be sent at the time of shipping as well, it will be needed for customs purposes. Ah, so you are suggesting that 2 copies of the invoice should then be sent? And also, now you are talking about shipping goods in and out of Thailand, right? Some of this will depend upon what your payment terms are with your customers. In the previous post they mentioned ship and then send your invoice for payment. You would do this if you offer payment terms, 30 days or 90 days. In many cases customers will need to prepay before shipping, in that case you will need to send them an invoice so that they can give it to their accounting department to process payment. This can be sent via email, the original is usually put in the consol pouch during shipping. This will then be used for customs purposes and then delivered to the consignee with the goods. Edited to answer the second question: Yes, this would be for either exporting from or importing into Thailand, for Domestic shipments there is no need to clear customs. Edited July 19, 2008 by CWMcMurray Link to comment Share on other sites More sharing options...
teacup Posted July 20, 2008 Share Posted July 20, 2008 or is PO usually only used when purchasing larger or more expensive goods? Yes..... if you want to write up the paperworks I wouldn’t do it myself - let the seller do it on their sale receipt/order, and then you can get a copy of it. Look over...... the description area carefully to make sure that is the specific item you want - like….color, series, size, and other very detail information concerning the product you’re buying,…..because sometimes it will be difficult to return the items Look over...... the payment method , payment schedule, and return policy carefully Aha, so you are suggesting there is no need to issue a PO, but instead let the seller make a detailed receipt? But then, i do not understand the function of the PO, because IF you order something and then get a receipt, and it does not match what you ordered in the first place, then what happens? Isn´t that the exact function of the PO? I mean, the PO should come before the receipt, once the receipt is printed out, its already "too late"? This is why you have to get the confirmation of your order from the seller first. Look over everything and reconfirm back, and usually for big items you will get approx 24-48 hrs to cancel your order, some seller might give a longer period, it depends on what is being ordered, or how customized it is. If you don’t feel comfortable with this method, then write one up yourself and send it to them first then, if it will make you sleep better at night. Ofcourse you could follow the accounting book from A-Z of how to operate the business. And there are so many types of business and each one will run a slightly different from the next. I don’t know how big is your business or how detailed you want it to be, or even the type of the business. Paperwork for running a professional business is just slightly different from let’s say running a retail business. And running a business based on face to face is also slightly different than a virtual store over the internet. Why don’t you tell us what are you doing exactly, and I’m sure many here can be able to help you in more details? Disclaimer: I'm not an accountant or anything, and giving advices based on my own experiences of running my own business for the last 15 yrs. Link to comment Share on other sites More sharing options...
dotcom Posted July 20, 2008 Share Posted July 20, 2008 Aha, so you are suggesting there is no need to issue a PO, but instead let the seller make a detailed receipt? He is the seller. Sheesh. Link to comment Share on other sites More sharing options...
teacup Posted July 20, 2008 Share Posted July 20, 2008 Aha, so you are suggesting there is no need to issue a PO, but instead let the seller make a detailed receipt? He is the seller. Sheesh. I know he is a seller. But in this particular question, he’s a buyer because… it was the question that referring to when making a big purchase for his business, and I was giving the advice to use as one of the options. Please read back from the top again, dotcom Link to comment Share on other sites More sharing options...
dotcom Posted July 20, 2008 Share Posted July 20, 2008 O so I can be a s confused as the rest of you? PASS Start your own GD topic if you want to go on a fishing trip. Link to comment Share on other sites More sharing options...
teacup Posted July 20, 2008 Share Posted July 20, 2008 The OP is rather too green in this. My best advice is.... go out and hire a bookkeeper or an accountant for the first year and try to learn everything from them paper works wise, then all those questions will become clearer to you over time. Link to comment Share on other sites More sharing options...
ayayay Posted July 20, 2008 Author Share Posted July 20, 2008 or is PO usually only used when purchasing larger or more expensive goods? Yes..... if you want to write up the paperworks I wouldn’t do it myself - let the seller do it on their sale receipt/order, and then you can get a copy of it. Look over...... the description area carefully to make sure that is the specific item you want - like….color, series, size, and other very detail information concerning the product you’re buying,…..because sometimes it will be difficult to return the items Look over...... the payment method , payment schedule, and return policy carefully Aha, so you are suggesting there is no need to issue a PO, but instead let the seller make a detailed receipt? But then, i do not understand the function of the PO, because IF you order something and then get a receipt, and it does not match what you ordered in the first place, then what happens? Isn´t that the exact function of the PO? I mean, the PO should come before the receipt, once the receipt is printed out, its already "too late"? This is why you have to get the confirmation of your order from the seller first. Look over everything and reconfirm back, and usually for big items you will get approx 24-48 hrs to cancel your order, some seller might give a longer period, it depends on what is being ordered, or how customized it is. If you don’t feel comfortable with this method, then write one up yourself and send it to them first then, if it will make you sleep better at night. Ofcourse you could follow the accounting book from A-Z of how to operate the business. And there are so many types of business and each one will run a slightly different from the next. I don’t know how big is your business or how detailed you want it to be, or even the type of the business. Paperwork for running a professional business is just slightly different from let’s say running a retail business. And running a business based on face to face is also slightly different than a virtual store over the internet. Why don’t you tell us what are you doing exactly, and I’m sure many here can be able to help you in more details? Disclaimer: I'm not an accountant or anything, and giving advices based on my own experiences of running my own business for the last 15 yrs. Ok, great, most of the things has become a lot clearer now, many thanks to you and the rest of you who helped me clear some of the question marks i had. I might come back with some other question later, but for now, this is enough. Thank you guys. Link to comment Share on other sites More sharing options...
teacup Posted July 20, 2008 Share Posted July 20, 2008 Your very welcome and best of luck on the new venture Link to comment Share on other sites More sharing options...
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now