Direct contract - Invoicing via Purchase Order

[AGS]

Hi all,

I've secured my first direct contract, with an organisation I previously worked for via an agency.

I'm due to speak to them again today, to clarify final arrangements, but was advised that they would issue me a Purchase Order, the assignment is for 3 months.

How does this work with regards to invoicing the client, I obviously don't want to wait till the end of the contract until I invoice them.

Should I be able to invoice them on a weekly, bi-weekly, or at least a monthly basis, for the work I’ve done already, based on the purchase order.

What details should I be looking for in the purchase order?

Any advice ect, will be greatly received

[Integrity]

Hi all,

I've secured my first direct contract, with an organisation I previously worked for via an agency.

I'm due to speak to them again today, to clarify final arrangements, but was advised that they would issue me a Purchase Order, the assignment is for 3 months.

How does this work with regards to invoicing the client, I obviously don't want to wait till the end of the contract until I invoice them.

Should I be able to invoice them on a weekly, bi-weekly, or at least a monthly basis, for the work I’ve done already, based on the purchase order.

What details should I be looking for in the purchase order?

Any advice ect, will be greatly received

It depends what you agree with your client!
Also WHAT you are selling is important. Are you selling consultancy services on a time & materials basis or are you selling a deliverable?
What is your clients expectation?

[DodgyAgent]

Hi all,

I've secured my first direct contract, with an organisation I previously worked for via an agency.

I'm due to speak to them again today, to clarify final arrangements, but was advised that they would issue me a Purchase Order, the assignment is for 3 months.

How does this work with regards to invoicing the client, I obviously don't want to wait till the end of the contract until I invoice them.

Should I be able to invoice them on a weekly, bi-weekly, or at least a monthly basis, for the work I’ve done already, based on the purchase order.

What details should I be looking for in the purchase order?

Any advice ect, will be greatly received

Welcome to the real world of doing business with large corporates. If its Tesco they will not pay you for three months and then call you to say that they will pay you tomorrow in return for a 20% discount. Then at the end of the year they will request a further sum be returned to them.

[malvolio]

At its simplest, you supply what it says on the PO then send them an invoice and wait a few months to be paid. If that is financially not very attractive, you need to negotiate some kind of stage payment; but that would be separate arrangement.

Think positive. An ex-colleague of mine got a PO saying (in effect) "Improve our customer support function's efficiency and we will pay you 10% of the first year's savings". He lived off his credit cards and 'er indoors for a year, did the job properly and 18 months later got a cheque for £2.4m

[lambrini_socialist]

At its simplest, you supply what it says on the PO then send them an invoice and wait a few months to be paid. If that is financially not very attractive, you need to negotiate some kind of stage payment; but that would be separate arrangement.

Think positive. An ex-colleague of mine got a PO saying (in effect) "Improve our customer support function's efficiency and we will pay you 10% of the first year's savings". He lived off his credit cards and 'er indoors for a year, did the job properly and 18 months later got a cheque for £2.4m

it's heartwarming stories like that which convince me i really, really shouldn't take a lazy renewal again.

[Integrity]

One thing to remember, is that there isn't anything special about a Purchase Order, and it is something that most people here are used to anyway, it just then when dealing with agents, different terminology is used such as "assignment letter", or "schedule".

[DodgyAgent]

At its simplest, you supply what it says on the PO then send them an invoice and wait a few months to be paid. If that is financially not very attractive, you need to negotiate some kind of stage payment; but that would be separate arrangement.

Think positive. An ex-colleague of mine got a PO saying (in effect) "Improve our customer support function's efficiency and we will pay you 10% of the first year's savings". He lived off his credit cards and 'er indoors for a year, did the job properly and 18 months later got a cheque for £2.4m

Well said.

Nail this down. Find out what the payment process is and who is in the chain that leads to payment. Build up a relationship with these people and you will find that your invoices will be paid regularly.

[AGS]

thank for the responses so far

To clarify about the position, it is a backfill support role, being paid on a daily, rate.

from waht you are saying, I would need to agree with tthe company concerned, that I can invoice them on a bi-weekyl or monthly basis, unless that have already specified that in there Purchase order.

[scooterscot]

In a similar situation at the moment. I've an old client looking to establish as maintenance contract (direct). No PO is used, however. The contract is being drawn up this minute. I'll provide my services, as a consultant, to a max number of projects and charge them quarterly. So is the plan.

[Platypus]

but was advised that they would issue me a Purchase Order, the assignment is for 3 months.

How does this work with regards to invoicing the client, I obviously don't want to wait till the end of the contract until I invoice them.

Should I be able to invoice them on a weekly, bi-weekly, or at least a monthly basis, for the work I’ve done already, based on the purchase order.

Talk to them. It's possible to bill monthly against a PO.