This article will cover draft invoices, their usage and implementation
Draft invoices (sometimes known as proforma invoices) are a new way for providers to raise a payable work item, that higher managers (organization owners and financial controllers) can approve. It is different from the traditional worksheet in that it does not require the provider to be part of a project or task to be raised. Below we will cover organizational implementation and usage by providers and managers.
Organizations will be able to invite and onboard providers (contractors) who will have the ability to create draft invoices. These draft invoices will need to be approved before they are included in client invoices for payment. The first step to implementation will be to enable the feature which can be done by going to:
Settings > Payments > Draft Invoices > Draft Invoice Settings > enable
Note: A notification about a raised or updated draft invoice will be sent to any financial controllers in the organization. If the organization does not have any financial controllers, it will be sent to the organization owner.
After activating this setting, another option becomes available to allow providers or managers with contractor status to submit draft invoices for future dates which if selected will require clicking the activation button to finalize.
1) On approval, draft invoices will be included in your next billing cycle's consolidated invoice, regardless of whether the work is future dated or not.
2) Please note that as these draft invoices are disconnected from project work, they will not be included in your organization's reporting section.
Read our contractors' Draft Invoice guide here