Overview
Accounts Receivable is the amount owed to your Organization resulting from the company selling goods or services to other individuals or businesses. The Customer and Invoice entities are considered accounts receivable.
Before you start receiving your payments you need to:
Customer
A Customer is a business or individual that consumes goods or services from your Organization. This entity holds the details of your Customers.
Customers have other entities linked to it:
| Customer's Bank Account |
A Customer's Bank Account contains the details of the bank account that sends payments to the Organization. |
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A Customer can have many contact details. The primary customer contact details are stored in the Customer entity itself. But, if other contact details need to be added to a Customer, use the Customer Contact entity. |
Invoice
An Invoice represents products and/or services purchased by a Customer from your Organization. This entity holds the details of your Invoices. Optionally, you can attach an image of the Invoice or related documents using Upload Attachment.
Let's take a look at the entities that are involved when receiving payments and storing this data in Bill.com.
| Recurring Invoice | An Invoice that needs to be generated periodically and sent to a specific customer is considered a Recurring Invoice. Use this entity as a template to generate new Invoice in specified intervals over a specified time period. |
| Credit Memo | Your organization can give a customer a discount or reduce the amount owed via a Credit Memo. You can apply a Credit Memo on an Invoice via Bill.com's web application. For more information, see Applying Credit Memos. |
| Invoice Credit |
Customers can pay an invoice using money or they can apply a Credit Memo on the payment and reduce the amount to be paid. If a Credit Memo is applied on an Invoice, an Invoice Credit entity is generated and it stores the information related to the Invoice and the Credit Memo. |
| Send Invoice | When the Invoice or Recurring Invoice is generated, it can be sent to the customer via email using the Send Invoice entity. |
| Mail Invoice | When the Invoice or Recurring Invoice is generated, it can be posted to the customer via the Mail Invoice entity. |
| Record AR Payment | If your Customer is not within Bill.com's Network or if the customer paid you outside of Bill.com, you can record the payment using the Record Accounts Receivable (AR) Payments entity. |
| Charge Customer | If the Customer is in Bill.com's Network and has agreed to the required terms using the Set Customer Authorization entity, you can directly charge a customer for the amount they owe using the Charge Customer entity. |
| Received Pay |
Once an Invoice payment is recorded using Record AR Payment or once the Customer is charged directly using Customer Charge, the Received Pay entity is generated. It stores the details of the invoices that were paid. |
| Get AR Summary | This gives you an overview of the Invoices that are overdue and the payments that were sent by the Customers. |
| RP Conv Fee |
When Customers make payments via credit card or PayPal, a convenience fee is charged. The RP Conv Fee entity records the convenience fee that was charged at the time of charging the Customer. You can set the convenience fee via Bill.com's web application. For more information, see Convenience fees and credit card surcharges. |
What's next
- Want to know how your account payables are handled within Bill.com? See Accounts Payable.
- To learn how users are authenticated before logging in to your Organization on Bill.com, see Authentication.