A first company credit sale should have agreed payment terms, a verified customer and a named collection owner before an unpaid invoice enters the routine books. Issuing the invoice does not establish that the customer accepted the terms or that payment has arrived. Build the record from the actual sale and agreement.

Hands signing a document at an office desk
Illustrative photograph by Pavel Danilyuk.

Establish the customer and terms

Keep the accepted order or contract and the customer’s legal billing details. Record the payment due date or agreed method for calculating it, currency and relevant invoice reference requirements.

Do not copy another customer’s credit period into a new account without approval. An administrator should know who may authorise changes to the terms.

Connect delivery and invoicing

Retain the evidence of goods delivered or services provided and link it to the invoice. Ask the accountant how the transaction should be recorded under the actual facts. Invoice date alone does not resolve every revenue-recognition or GST question.

Check where the customer wants the bill delivered and who will confirm receipt. Keep that contact separate from authority to accept a discount, extend credit or waive an amount.

Example: the invoice is disputed before its due date

The customer says the order required a different purchase reference. Keep the dispute and underlying agreement, then arrange a documented review. Do not simply extend the due date in the ledger or mark the invoice paid to remove it from the overdue list.

Where a corrected document is needed, preserve the original and the approved replacement trail.

Assign the collection routine

Name the person who monitors unpaid balances, matches receipts and escalates disputes. Agree a backup for absences and record any approved follow-up. Reconcile actual bank receipts with the customer balance so a promise to pay is never treated as cash already received.

Related practical guidance

For the surrounding records and responsibilities, see maintaining statutory records, the company secretary role, company recordkeeping.

Official guidance: IRAS official guidance.

Help with your company records

For corporate secretarial and company administration support, contact Raffles Corporate Services at [email protected] or WhatsApp +65 8501 7133. Tell us which records or process need attention so we can discuss the relevant next steps.