How to calculate the amount of a situation invoice?
Posted: Thu Feb 13, 2025 8:38 am
To calculate the amount of a status or progress invoice, there are 2 methods :
You can calculate the amount according to the total amount of the service once finalized by applying a percentage ;
You can calculate the amount in lots or markets corresponding to a specific service.
The first method is relatively simple to apply, so we will explain the second chinese student data method in more detail. On a construction site, the work to be carried out is divided into lots or contracts.
For example, on the same construction site, we can have 3 lots with electricity, structural work and plumbing. Each lot can be carried out by one or more service providers who can invoice these lots individually according to the progress of the work by means of a status invoice.
Good to know: in the case of subcontracting, the subcontracting service providers invoice the lots directly to the contracting company. The latter will then issue a status invoice to its client detailing the progress of each lot and indicating a percentage of progress for the entire project.
An entrepreneur is about to calculate the amount of his situation invoice
Situation invoice and deposit: what are the differences?
Although both the progress invoice and the down payment invoice allow funds to be generated before the service is completed, they are nonetheless identical. In fact, a down payment is an advance made by the customer to the service provider. The customer pays part of the total amount before delivery of the product or service. The down payment invoice therefore provides proof of this payment; it is complementary to the balance invoice which indicates the balance to be paid.
On the other hand, the status invoice is issued in a very different context. Indeed, it allows payments to be spread over the duration of the service or work. This invoice thus allows the service provider to receive part of the amount due in order to maintain a good cash flow and the client to spread expenses over a given period in order to avoid paying a large sum.
Therefore, the interim invoice is issued during the completion of the work , which is not the case for the advance invoice which is issued before the performance of the service .
You can calculate the amount according to the total amount of the service once finalized by applying a percentage ; You can calculate the amount in lots or markets corresponding to a specific service.The first method is relatively simple to apply, so we will explain the second chinese student data method in more detail. On a construction site, the work to be carried out is divided into lots or contracts.
For example, on the same construction site, we can have 3 lots with electricity, structural work and plumbing. Each lot can be carried out by one or more service providers who can invoice these lots individually according to the progress of the work by means of a status invoice.
Good to know: in the case of subcontracting, the subcontracting service providers invoice the lots directly to the contracting company. The latter will then issue a status invoice to its client detailing the progress of each lot and indicating a percentage of progress for the entire project.
An entrepreneur is about to calculate the amount of his situation invoice
Situation invoice and deposit: what are the differences?
Although both the progress invoice and the down payment invoice allow funds to be generated before the service is completed, they are nonetheless identical. In fact, a down payment is an advance made by the customer to the service provider. The customer pays part of the total amount before delivery of the product or service. The down payment invoice therefore provides proof of this payment; it is complementary to the balance invoice which indicates the balance to be paid.
On the other hand, the status invoice is issued in a very different context. Indeed, it allows payments to be spread over the duration of the service or work. This invoice thus allows the service provider to receive part of the amount due in order to maintain a good cash flow and the client to spread expenses over a given period in order to avoid paying a large sum.
Therefore, the interim invoice is issued during the completion of the work , which is not the case for the advance invoice which is issued before the performance of the service .