Do you pay invoices completely?
If you negotiate with a supplier in relation to an invoice, do you ensure the invoice is reissued?
It is not always common but sometimes you will negotiate a change in the agreed price once an invoice has been issued by a supplier. This might be because there was a change or defect in the good or service provided and a lesser amount is agreed or an agreement that a certain amount of the invoice will be paid later when the rest of the product or service is delivered.
**Do not pay an invoice in part. ** You should ask the supplier to reissue the invoice or issue a credit note in relation to an invoice. Otherwise, the supplier may say that there is a balance of the invoice owing.
“Jim. OK, I'll just pay $165, not the $220 on the invoice"
Figure: Bad example
“Dear Jim, Please reissue the invoice or provide a credit note for the now agreed correct amount."
Figure: Good example