Article 5.2: Creating Multiple Invoices for One PO

Overview

👤 For Sellers: In many business scenarios, you'll need to create multiple invoices for a single Purchase Order. Qawafel supports this flexible approach while maintaining ZATCA compliance and clear tracking.

When to Create Multiple Invoices

Common scenarios:

✅ Partial shipments: You deliver goods in batches and invoice for each shipment

✅ Phased payments: Customer wants to pay in installments (e.g., 50% upfront, 50% on completion)

✅ Mixed delivery schedules: Some items are ready now, others ship later

✅ Progressive billing: For long-term projects, you invoice based on milestones

✅ Split orders: Different items ship from different warehouses on different dates

How It Works

Key rules:

• ✅ One Purchase Order can have unlimited invoices (INV-01, INV-02, INV-03...)
• ✅ Each invoice has a unique system number (e.g., INV-25-0187, INV-25-0191)
• ✅ All invoices are independently submitted to ZATCA
• ✅ The buyer links all invoices when closing the PO (3-way match)

How to Create Multiple Invoices for One PO

Example Scenario:

• PO-25-0042: 500 units ordered
• Delivery 1: 300 units shipped on Nov 1
• Delivery 2: 200 units shipped on Nov 15
• Result: You create 2 invoices

Step 1: Create the First Invoice

1. Go to Invoices → + Create Invoice
2. Select the Customer
3. Link to PO-25-0042 in the Purchase Order field
4. Add products for the first shipment:
   • Product A: 300 units at 50 SAR/unit = 15,000 SAR
5. Click Submit

Result:

• Primary ID: INV-25-0187
• Status: Pushed to ZATCA

Step 2: Create the Second Invoice

1. Go to Invoices → + Create Invoice again
2. Select the same Customer
3. Link to the same PO-25-0042
4. Add products for the second shipment:
   • Product A: 200 units at 50 SAR/unit = 10,000 SAR
5. Click Submit

Result:

• Primary ID: INV-25-0191
• Status: Pushed to ZATCA

Step 3: Track All Invoices

To view all invoices for a PO:

1. Open PO-25-0042

How the Buyer Uses Multiple Invoices

When the buyer closes the PO (see Article 3.3), they must attach all invoices for the 3-way match:

Example:

• PO-25-0042: 500 units ordered
• INV-01: 300 units invoiced
• INV-02: 200 units invoiced
• Total: 300 + 200 = 500 ✅ Match passes

The buyer also needs to create Received Notes for each delivery:

• RN-01: 300 units received
• RN-02: 200 units received

Full 3-way match:

• PO: 500 units
• Invoices (total): 500 units
• RNs (total): 500 units
• ✅ PO can be closed

Best Practices for Multiple Invoices

✅ Match invoices to shipments: Create one invoice per physical delivery for easier tracking

✅ Use clear references: Add notes to each invoice indicating which shipment it covers (e.g., "Invoice for Delivery 1 of 3")

✅ Attach delivery notes: Upload proof of delivery for each invoice

✅ Communicate with the buyer: Let them know how many invoices to expect for a PO

✅ Track totals carefully: Ensure the sum of all invoices matches the PO total to avoid 3-way match failures

Common Scenarios in Detail

Scenario 1: Partial Shipments

PO-25-0042: 1,000 units at 25 SAR/unit = 25,000 SAR

Your actions:

1. Ship 400 units on Nov 1 → Create INV-01 for 10,000 SAR
2. Ship 300 units on Nov 10 → Create INV-02 for 7,500 SAR
3. Ship 300 units on Nov 20 → Create INV-03 for 7,500 SAR
4. Total invoiced: 25,000 SAR ✅

Buyer's actions:

1. Receive 400 units → Create RN-01
2. Receive 300 units → Create RN-02
3. Receive 300 units → Create RN-03
4. Close PO by attaching all 3 invoices + all 3 RNs

Scenario 2: Advance Payment + Balance

PO-25-0042: 100,000 SAR total

Your actions:

1. Customer pays 50% advance → Create INV-01 for 50,000 SAR (before shipping)
2. Ship goods and customer pays balance → Create INV-02 for 50,000 SAR
3. Total invoiced: 100,000 SAR ✅

Buyer's actions:

1. Pay first invoice (advance payment)
2. Receive goods → Create RN-01 for full quantity
3. Pay second invoice
4. Close PO by attaching both invoices + RN

Note: Even though payment is split, the buyer only creates one RN (for the single delivery).

Scenario 3: Different Products, Different Times

PO-25-0042: 50 laptops + 50 monitors

Your actions:

1. Laptops are in stock → Ship immediately and create INV-01 for laptops only
2. Monitors arrive later → Ship and create INV-02 for monitors only
3. Both items invoiced separately ✅

Buyer's actions:

1. Receive laptops → Create RN-01
2. Receive monitors → Create RN-02
3. Close PO by attaching both invoices + both RNs

Restrictions and Rules

Rule	Explanation
No invoice can span multiple POs	Each invoice must reference only one PO (or no PO at all)
Cannot over-invoice	Total of all invoices should not exceed PO total (buyer will reject during 3-way match)
Each invoice is independent	If one invoice is rejected by ZATCA, others are unaffected
Cannot edit after submission	Each invoice is locked once submitted to ZATCA
Cannot create invoices for closed POs	Once the buyer closes a PO, no new invoices can be linked to it

Tracking Multiple Invoices

From the Invoices page:

1. Go to Invoices in the sidebar
2. Use the Filter option to show invoices for a specific customer or PO
3. Sort by date or status

From the PO page:

1. Open the Purchase Order
2. Go to Linked Documents tab
3. See all invoices (INV-01, INV-02, etc.) in one place

Common Questions

Q: Is there a limit to how many invoices I can create for one PO?
A: No limit, but keep it reasonable. Most POs have 1-5 invoices. If you need many more, consider splitting into multiple POs.

Q: What if I accidentally invoice too much?
A: If the total of your invoices exceeds the PO amount, the buyer's 3-way match will fail. You'll need to issue a Credit Note (see Article 7.2) to correct the overage.

Q: Can I create invoices in any order?
A: Yes. You don't need to create them sequentially. The system assigns sequence numbers based on when they're linked to the PO.

Q: What happens if ZATCA rejects one of my multiple invoices?
A: Only that invoice is affected. Fix the error and create a new invoice. The other invoices remain valid.

Q: Can the buyer close the PO if I've only sent some invoices?
A: Yes, if the buyer has received all goods. The 3-way match totals all linked invoices and RNs. As long as the totals match, the PO can close—even if you plan to send more invoices later. (But best practice is to invoice everything before the buyer closes the PO.)

Tips for Managing Multiple Invoices

✅ Plan ahead: Discuss with the buyer how many invoices to expect

✅ Document each invoice: Attach delivery notes or shipment details to each invoice

✅ Monitor totals: Track cumulative invoiced amounts to avoid over- or under-invoicing

✅ Communicate proactively: Let buyers know when to expect the next invoice

Next Steps

• Article 5.3: Learn how to link invoices to Purchase Orders
• Article 6.2: Understand how buyers create multiple Received Notes
• Article 3.3: See how multiple invoices work in the 3-way match
• Article 7.2: Issue Credit Notes to correct invoices

➡️ Need more help? Contact Qawafel Support.