What is an invoice?
An invoice is a request for payment for goods and services, usually itemizing each one and offering explanations for every amount. It also includes fees, penalties, discounts, or other elements that can affect a total amount or subtotal. It usually informs a customer or recipient how and when to pay for said goods or services.
An invoice is distinct from a receipt, which documents and itemizes payment for goods or services.
When to use an invoice.
Vendors use invoices to inform their customers about payments and also to document transaction details. Invoices can help set and manage expectations for the time and manner of payments.
Digital invoices can help businesses and other vendors save time and money. Electronic invoicing, especially mobile invoicing, can make the entire payment process faster, smoother, and easier.