Methods of billing

SAP has provided different methods we can use to bill customers. Based on your business needs, you may want to consider billing a customer for every delivery when you ship the products out to the customer, or when the shipping volume is more but the volume of the goods of each delivery is partial or less than a truckload; at this point, you may want to club multiple deliveries together and bill the customer in one go.

This depends on the type of business you are in and for this reason, SAP has provided options such as individual billing and collective billing.

One another option that SAP has provided is an invoice split. You can have different business rules to split the invoice into multiple invoices for a single delivery. For example, if the payment terms are different on different line items on the sales order, you may want to split the invoice, even though all the items have been shipped out in one delivery.

Let's go through each of these options...