Off invoice意思

"Off invoice" is a term used in business and finance, particularly in the context of accounts receivable and invoice management. It refers to the practice of offering a discount or incentive to customers who pay their invoices before the due date. This is a common strategy used by companies to encourage prompt payment and improve cash flow.

Here's how it typically works:

1. A company issues an invoice to a customer for goods or services provided.
2. The invoice includes a payment due date and usually the full amount due.
3. The company offers a discount if the customer pays before the due date, often stating the discount amount or percentage and the date by which payment must be received to qualify for the discount.
4. If the customer pays before the specified date, they receive the discount, and the company processes the payment at the reduced amount.

For example, a company might offer a 2% discount if the invoice is paid within 10 days of the invoice date. This is often denoted as "2/10, net 30" on the invoice, meaning a 2% discount if paid within 10 days, or the full amount (net) must be paid by the 30th day.

The "off invoice" term can also refer to any adjustment or change made to an invoice after it has been issued, such as a correction or a refund. However, in the context of early payment discounts, it specifically refers to the discount offered for paying before the due date.