What’s the difference between Invoices and Cash Invoices?

The difference lies mainly in the timing of payment, as explained below:

Invoices (Credit)

• Used when the sale happens now but payment is delayed.

• The invoice amount appears as Accounts Receivable (due from customer).

• Typically used for credit sales or deferred payments.

• Requires creating a payment later when payment is received.

Example:
You issued an invoice on September 1 for SAR 10,000. The customer will pay after 30 days.

Cash Invoices (Immediate Payment)

• Used when the sale happens and payment is received immediately (cash, bank transfer, or card).

• Revenue and payment are recorded at the same time.

• Does not appear as Accounts Receivable instead, it's treated as paid revenue.

• Invoice status is marked as Paid once saved.

• No need to create a separate payment.

• Commonly used in point-of-sale scenarios.

• Recommended when payment is instant to simplify financial reporting.

Example:
You sold a product for SAR 1,000 and received payment immediately from the customer.