What Retailers Expect on Your Invoice
Every retailer has specific invoicing requirements, but most share a common set of expectations. Your invoice must include accurate, complete information that aligns perfectly with the purchase order and the shipment you sent. Retailers rely on automation to process thousands of invoices, so even small discrepancies will cause your invoice to be flagged or rejected outright.
The Three-Way Match
Most major retailers use a process called a three-way match to verify invoices before approving payment. The system compares three documents:
- The Purchase Order (850): What the retailer originally ordered, including items, quantities, and agreed-upon prices.
- The Advance Ship Notice (856): What you actually shipped, including quantities and tracking information.
- The Invoice (810): What you are billing the retailer for.
All three documents must agree. If the PO says 100 units at $10.00 each, the ASN says you shipped 100 units, and the invoice says 100 units at $10.00 each, you are in good shape. Any mismatch between these documents triggers a hold or rejection.
Most Common Rejection Reasons
| Rejection Reason | What Happened | How to Avoid It |
|---|---|---|
| Wrong PO Number | The PO number on the invoice does not match any open purchase order in the retailer's system. | Always create invoices from the shipment in RetailReady so the PO number is pulled automatically. |
| Price Mismatch | The unit price on the invoice differs from the price on the purchase order. | Never manually override prices unless the retailer has confirmed a price change in writing. |
| Quantity Mismatch | The invoiced quantity does not match the shipped quantity on the ASN. | Invoice only for the quantity you actually shipped, not the quantity originally ordered. |
| Missing Remit-To Address | The invoice does not include a valid remit-to address where the retailer should send payment. | Set up your remit-to address in RetailReady's company settings before submitting your first invoice. |
| Duplicate Invoice Number | An invoice with the same number was already submitted for this PO. | RetailReady auto-generates unique invoice numbers. Avoid resubmitting invoices without checking their status first. |
Tips for Avoiding Rejections
- Always start from the shipment. When you create an invoice from a shipment in RetailReady, the PO number, quantities, and prices are pulled directly from the source documents. This eliminates most common errors.
- Check your math. Make sure line item totals (quantity times unit price) add up to the invoice subtotal, and that any allowances or charges are reflected in the grand total.
- Submit on time. Many retailers require invoices within a specific window after shipment. Late invoices may be rejected or result in compliance fines.
- Keep your company information current. Make sure your company name, address, and tax ID match what the retailer has on file. Discrepancies in vendor information can cause processing delays.
Remember: A rejected invoice means delayed payment. Taking an extra minute to review your invoice before submitting can save you weeks of waiting for your money.