Sales: Quotations, Pricelists and Invoicing Policy
What to know
The sales cycle is quotation → sales order → delivery → invoice. A quotation becomes a sales order on confirmation, which reserves stock, generates delivery orders per the warehouse routes, and allows invoicing according to the invoicing policy. That policy lives on the product (Ordered quantities vs Delivered quantities) and can be overridden per order line; with Delivered quantities, only quantities actually shipped can be invoiced.
Pricing comes from pricelists: rules based on product, category, quantity, date range or another pricelist, with fixed price, percentage or formula. Taxes are set as customer taxes on the product and can be price-excluded or price-included; a 15% price-included tax means the listed price already contains the tax. Payment terms compute due dates. Other must-know concepts: product variants and attributes, optional products, units of measure and their conversion factors, discounts (enable Discounts in settings), online quotation with signature and payment, order locking, and margins from product cost.
Traps
- Changing the invoicing policy on the product does not retroactively change existing confirmed orders' lines.
- A pricelist based on another pricelist computes its rules from that list; it does not inherit prices lazily at random.
- Price-included taxes reduce the untaxed base rather than adding on top.
- Units of measure convert between sales and stock UoM; a wrong UoM ratio corrupts delivered quantities.
Rule of thumb
Confirm only after checking three fields: invoicing policy, taxes, and UoM. Example: a 100.00 product with 10% discount and 15% price-excluded tax invoices 90.00 untaxed + 13.50 tax = 103.50; with the same tax price-included, the untaxed amount is 103.50 / 1.15.