If I’ve ever heard the word for it, I’ve not paid attention.
If I want to send a client a bill outline so they know how much they currently owe (say I’ve been doing a lot of hourly work) - what form/statement do I send them…
Looking for the term for this…
Basically it’s to avoid a big surprise on the final bill.
Is this called “statement of works”?
Invoice?
A statement is usually a summary of amounts they already owe (i.e have already been invoiced for and not yet paid). Matius – over what time period have you done this work? It might be appropriate to invoice incrementally (for example every fortnight) rather than waiting until the end of the project.
It’s a statement. My Quickbooks sends all clients a statement each month if they have any balance at all, regardless of when it’s due.
There’s no well-established name for what you want. It’s just an informal Progress Report, really.
An Invoice is a legal document formally requesting payment for the items specified, a Statement is a list of issued invoices and credit notes that summarises the current balance, but it sounds like you just want to send them a note to keep them informed how many hours of work they’ve run up in the last few weeks, so that the next Invoice - when it comes - is not a shock?
Sometimes clients require a Pro-Forma Invoice, which is basically an indication of what the final Invoice is likely to be (but is not itself a request for payment), but that doesn’t cover your situation either because it’s only usually required in specific circumstances (eg to generate Purchase Orders, or facilitate complex shipping documentation).
Paul
I don’t think there is such a specific definition for a statement. A statement is really just a document that indicates balances, credits, transactions, fees, interest, or whatever else is representative of business between a vendor and a client.
We see medical statements, cell phone statements, services statements, and everything in between.
When i send client statements, it shows recent payments to invoices, outstanding invoices, and billing that hasn’t appeared on an invoice yet if it’s before the end of the month.
Not sure, but Pro Forma invoice might be correct term:
From wikipedia, so don’t assume it is correct:
In trade transactions, a pro forma invoice is a document that states a commitment from the seller to sell goods to the buyer at specified prices and terms. It is used to declare the value of the trade. It is not a true invoice, because it is not used to record accounts receivable for the seller and accounts payable for the buyer. Simply, a ‘Proforma Invoice’ is Confirmed Purchase Order where buyer and Supplier agrees on the Product Detail and its cost (usually-Supplier currency) to be shipped to buyer. Sales quotes are prepared in the form of a pro forma invoice which is different from a commercial invoice. It is used to create a sale and is sent in advance of the commercial invoice. The content of a pro forma invoice is almost identical to a commercial invoice and is usually considered a binding agreement although the price might change in advance of the final sale.
We call it a progress detail sheet.