Find Out Whether an Invoice is Same as Bill


Whether an invoice is same as a bill is something many business owners and companies are confused about. Invoice and bill are not synonymous terms, and are not even interchangeable. However, the difference between bill and invoice is not a night and day difference. Bills and invoices are generally documents that somewhat convey a similar information. Still, they are not the same.
When you are generating an invoice, it is more like a request of payment for the services that you provided to your client. The same transaction when viewed by your client will be looked upon as a bill. The bill to invoice meaning finds its roots at the client’s end. So, it is all about perspective.

Let’s dive in and take a deeper look into the difference between invoice and billing statement. Also, find out how invoicing software and billing software function.

Bill and Invoice definition
Let’s start with the basics.
Now that you have a general idea of both bills and invoices, let’s look at what they exactly are.

    Also Read: Important Key Aspect of Every Billing Software

What is a bill?
A bill is a transactional document produced by the consumer for personal records as an informational account of what they need to pay.
It is generated or issued before making out the payment for the services. The consumer uses the said bill as a matter of their record. And a bill is generated after receiving an invoice for the services or products the consumer consumed.

Bills generally act as a reminder for the consumer or client for what they owe to a client.

What is an invoice?
An invoice is a transactional document produced by a business towards a client requesting payment for the listed services they provided.

An invoice is generated post the completion of services or on a recurring basis as per the contract. An invoice generated before providing services is known as an estimate.

Invoices outline the exact nature of services, the due date for payment and banking information as a means of requesting payment. It is produced by the business and sent out to the client. It is maintained in the record of the business.

Difference between Invoice and Billing Statement
So, it should be clear by now that the difference between bill and invoice is more to do with perspective than anything else. An invoice will be produced at the business’ end to convey information about services provided, due date etc.

An invoice is received by the consumer or client as a bill. A consumer might also regenerate the bill using this invoice to serve their operations appropriately. This means they will change the format. Basically, the difference between bill and invoice is simply about who you are in the transaction.

And remember that a receipt is issued post payment, as a proof of payment, by the business towards the client.

    Also Read: How to Create and Send Beautiful Invoices to Your Clients

Invoicing Software and Billing software
Surprisingly, both invoicing software and billing software pretty much mean the same thing. Such software manages invoices and bills, and many more things involved in a business transaction.

Any business will act as a provider and a consumer during different transactions. So, any invoicing software or billing software will manage and create outgoing invoices and incoming bills as well.
These software solutions take into consideration the various elements of multiple things, and only in the context of such software can the terms “billing” and “invoicing” be used interchangeably. This is because any invoicing software will include billing nuances as well. I.e., it will automatically send out an invoice to the client which will be looked upon as a bill from the client’s side.

Further, such software will accept payments on the generated invoice, from the client’s side, where the same invoice will be looked upon as a bill.

So, now you know the subtle difference between a bill and an invoice, which will hopefully help you operate your business more efficiently.

Invoice as a Consultant – Accounting Practices You Need to Know


The invoice template keeps on changing yet consultants are expected to stay on top of accounting through traditional excel sheets. Invoicing as we know it is changing into something smarter and quicker. With the influx of billing software, which are free of charge, the accounting space has opened itself to use by professionals who are not bookkeepers. This means people like consultants and freelancers, who have found accounting tough to handle, can carry out the tasks themselves.

Here are some fine accounting practices and tips that you absolutely need to know about.
1. Use Time Tracking
2. Personalize Your Invoices
3. List All your Billables
4. Add Payment Requisites with Dates
5. Offer Payment Channels

Time Tracking
In the consulting industry, time is money. As most consultants charge by the hours, they need to keep an accurate track of the time. Even if you are filing contracts on a project-to-project basis, time tracking can be a great tool for self-growth. Most invoicing software like the Cloudbooks come with a time tracking tool. This will record the hours you put in everyday for a project. This includes pretty much everything you do for the project. Time tracking software can add these billable hours to your weekly or monthly invoices. This is a must for consultants, especially because they often forget to record their hours.
Personalize Your Invoices

    Also Read: An overall review of Online Invoicing Software- Link

Invoices are a literal representation of the work you put in to complete a project. They are supposed to serve as propositions as well as statements of work. Either way, a bit of branding never hurt anybody. In fact, it can be really good for your business. Always add a header in your invoice, with the appropriate branding. This means, your logo, address, name, and contact information. All these things should show up right on top of your invoice. Similarly, add the details of your client. Make sure to add correct information on every invoice. Double check and then make a template.

List All your Billables
This is one of the most important tips for consultants, building their own invoices. Make sure to track all your expenses and add them to your invoice. List each and every service that you provided to your client. You deserve to be paid for the work that you put in. And especially being a consultant, you will be providing services that might be not be included in your initial contract. Use an expense tracker for accurate service billing, and make sure you get everything you do on the paper.

Add Payment Requisites with Dates
Usually, when you prepare a contract, discuss and settle of some of the payment terms. These terms are generally understood. But an important and professional thing to do is to reiterate these terms on each invoice you are sending out. You should add the payment terms clearly on your invoice along with the due dates. If you follow a late payment policy, do not forget to add those details as well. For example, mention the fine on late payment.

    Also Read: CloudBooks for Accounting- Link

Offer Payment Channels
The idea of sending out invoices is to get paid on time. Sometime you get a client, who is always procrastinating on payments, and giving you a date after another. So, people came up with certain ideas that will push your clients ever so slightly to pay. Offering payment channels right on your invoice is one of those slight nudges you can give to your clients for getting paid on time. You can list all the payment options with your account details on the invoice straight away for easy payments.

Here’s How You Can Find the Right Billing Software for Your Food Joint


Due to the ongoing pandemic, eateries have had to adapt and upgrade their existing operations to increase their sales. Along with digitization of menus, these outlets have also updated their billing system with the addition of advanced billing software. This tool takes care of the billing and operation processes, which includes invoicing, ticketing, printing KOTs and more. A good billing software only not ensures lean operations by cutting down costs and reducing clerical activities but also boosts the revenue of the place.

Read on to know how you can find the right billing tool for your eateries. Your billing software must have these features –

1. Cloud-based Billing
2. Digitized Payments
3. Online Ordering
4. Priority Support
5. Inventory Management

Cloud-based Billing
Running a food joint in the 21st century is as much about data as it is about food. There are customers, who visit the place often, and there are those, whose visits are less frequent. With a cloud-based billing software, you will have data about all your customers, which will help you identify your regular customers. Moreover, a cloud-based tool is a secure and an affordable solution. You can access information from anywhere at any time, and run the analytics. This will help you market your offers better and give priority reservations to your returning customers.

    Also Read: Important Key Aspect of Every Billing Software

Digitized Payments
Payment have seen a massive change since the onset digital payments. Although most eateries will already have a billing software that accepts credit cards and debit card payments. However, with changing times, you have to provide multiple options, and accept payments from PayPal, GPay, Amazon, etc. Choose a billing software that allows you to accept payments from multiple channels. Make sure the customers can directly pay for their bills through a mobile application. Integration is important, so make sure you have all your local payment channels on your software directly.

Online Ordering
Eateries are serving online orders more than ever before. You can download the variety of apps through which you can order online. However, accepting orders from multiple applications can be a bit of a challenge for restaurants. They will struggle to manage the reminders on each application. In such a case, an online invoicing software that allows you to manage all online orders under one roof can greatly benefit the place. You will find a lot of POS billing software for your eatery that will contain this multi-app channel. It is a must-have feature in the billing software.

Priority Support
Running an eatery is not an easy task. You may have to meet with emergency requirements, urgent orders, etc. During these tasks, you may face some setbacks that will shake your functioning and confidence, all at once. As no software is fool proof. Therefore, it is important that the billing software you are using, offers you a prioritized service. This means if something goes wrong with their software, or you have trouble accessing a particular function or feature, they will be there to help you out.

Choose a software that offers 24/7 customer support. Make sure to get accustomed to the software and its functioning before setting it up.

    Also Read: Billing And Invoice Software – Link

Inventory Management
This is one of the top requirements in terms of building an app for restaurant billing. When you are managing an eatery, you are buying a lot of food. Unfortunately, you will end up wasting a lot of it. You need a feature in the app to keep a track of all the food that you are going to use. A good inventory management will also keep you up-to-date with the monthly requirements, so that you can keep the place stocked up and ready. This is one of the important features which will send your team customized stock depletion alerts as well.