What is a supplier invoice?

A supplier invoice is essentially a bill from a supplier that details the products or services provided to a business. It includes important information such as the quantities purchased, price per unit, total amount due, payment terms, and due date. This document serves as a formal request for payment and is crucial for maintaining accurate accounting records and managing cash flow.

While payment confirmations, purchase orders, and credit notes play significant roles in the purchasing and accounting processes, they do not fulfill the same function as a supplier invoice. A payment confirmation indicates that a payment has been received or processed, a purchase order is an agreement initiated by the buyer that specifies the details of a purchase, and a credit note is issued when items are returned or when an adjustment is made to a previous invoice. In contrast, the supplier invoice is the typical document used to solicit payment for goods or services rendered, thereby making it an essential element in supplier relationships and accounting practices.