Project to Invoice: prepare and review project billing

Use this path when an active project has a billing event. It turns eligible time, expenses, or contract work into a reviewed invoice and follows the resulting receivable without deciding the whole project’s completion.

Where this workflow fits

This workflow suits professional-service firms, contractors, field-service organizations, and project-based manufacturers. Project to Profit supplies the active engagement and delivery evidence. The invoice enters AR, while remaining work returns to project management.

Featured capabilities

• Projects & Timesheets: Connect resource time, costs, and project work.
• Orders & Sales: Prepare the quote or order and hand off accepted demand.
• Purchasing & Accounts Payable: Verify purchasing documents and supplier bills.
• Invoicing & Accounts Receivable: Review invoices, credits, and open balances.
• Reporting in VersaCloud ERP: Review project or financial results.

People and preparation

The project owner and billing team need the customer agreement, billing basis, current project, approved time and expenses, related transaction support, and the billing period or milestone.

Process areas and stages

1. Confirm billable scope

   Owner: Project owner and billing. Input: Active project and contract.

   Work and decision: Confirm the active project, customer, billing basis, related sales order or contract, and the work that is eligible to bill. Identify the eligible period, milestone, or work and any customer approval required. Separate completed billable work from estimates or work still being disputed.

   Evidence and handoff: Agreed billing basis establishes what the invoice may include.

2. Capture supporting activity

   Owner: Team, purchasing, and billing. Input: Time, expenses, and delivery evidence.

   Work and decision: Record time, expenses, purchase orders, supplier bills, shipments, and other eligible costs against the project. Keep evidence and descriptions current. Record time and eligible costs against the correct project. Keep descriptions and supporting purchase, supplier bill, or shipment records accessible so billing can explain the charge.

   Evidence and handoff: Project-linked activity is available for review.

3. Approve the billing selection

   Owner: Project owner. Input: Unbilled project detail.

   Work and decision: Review unbilled work, billing exceptions, and the supporting detail with the project owner before billing. Compare recorded work with the agreement, check missing or duplicate items, and decide whether to bill now, defer, or correct the underlying record.

   Evidence and handoff: Approved selection passes to invoice preparation; exceptions retain an owner.

4. Prepare and post the invoice

   Owner: Billing. Input: Approved work and customer terms.

   Work and decision: Create the customer invoice using the approved billing basis. Review pricing, taxes, contract deductions if applicable, and supporting detail before posting. Prepare the invoice from the supported basis and check pricing, tax, any retained amount, and supporting description. Send only the reviewed invoice to the customer.

   Evidence and handoff: Posted invoice links the project work to the customer receivable.

5. Collect the receivable

   Owner: Accounts receivable. Input: Open project invoice.

   Work and decision: Send the invoice, record customer payments, and follow up on overdue balances through the regular accounts-receivable process. Apply customer remittance and follow up on overdue or disputed amounts. Verify a settlement against bank activity rather than marking a promise to pay as cash.

   Evidence and handoff: Payment and reconciliation update the receivable.

6. Return to project control

   Owner: Project owner and finance. Input: Invoices, open balance, and remaining work.

   Work and decision: Review unbilled work, open customer balances, and billing exceptions. Return to Project to Profit for delivery, cost, and final project-status decisions. Review unbilled items, payment status, and exceptions. Return delivery, cost, and final-status choices to Project to Profit.

   Evidence and handoff: Project owner has a clear next billing or delivery action.

Variations and exceptions

A disputed line returns to the project owner for evidence or correction. A draft invoice is not a posted receivable, and payment follow-up does not establish that all project work has been billed.

Completion and review

The project shows traceable billable work, invoice and payment status, and a reviewed billing result. Unbilled work, open customer balances, and billing exceptions have a named next action.

Related workflows

• Project to Profit: manage delivery, billing, and profitability
• Weekly AR Cash Management