Commercial Documents

Hello commercial people, today i would like to share most important documents process in any kind of organization related with commercial work.

My 1st topic is when and how and which point the documents will be start. It’s may be Bill, Invoice, Challan, Bill of Exchange, PI (Proforma Invoice) & LC (Letter of Credit).

The below 6 no point are the cutout point to convert the Bill release by Cash or accounts payee cheque or Letter of credit (LC).

  1. Service Giver/Seller (Washing, Embroidery & Printing).
  2. Goods/Service from Buyer as per Purchase Order (PO)
  3. Process or execute the Service by service giver/seller
  4. Send or Sales the service/Goods with 2Copy Challan to buyer.
  5. Received the Challan with Signature from buyer store here the production people work is done.
    6. this is the point how to settle the mode of Payment.
    No. of 6 Major point to work when you delivers the good to concern party and confirm the payment.

If the service giver/seller management payment mode is Bill, Store in-charge will prepared the bill and send to Service Receiver/buyer store with received signature challan to collect the payment.

Service Receiver/Buyer received the bill and send to own authorized management for approve the bill after approving the bill send to accounts department for settle the payment by Cash or Account Payee Cheque.

Again if the service giver/seller management payment mode is LC (Letter of Credit), Store in-charge will prepared the Commercial Invoice and send to commercial department with received signature challan to make the BOE (Bill of Exchange) for submitting the documents  buyer store for acceptance and send to concern Bank. Before submitting the BOE must be collect LC from Service Receiver/Buyer management (Marketing/Commercial) as per BOE process.

Service Receiver/Buyer received the BOE and check the store database for accurate received delivery status and after that send to own authorized management for acceptance the BOE.

Service Giver/Seller collect the BOE from buyer office with acceptance and send to concern bank for due date for collect the payment. So, this the date when the payment will be realized.