Cash on delivery online sales reporting is a way for businesses to accept payment from customers after they receive the goods or service, rather than beforehand. The method is popular among smaller businesses that don’t have the creditworthiness to offer credit terms and it allows consumers who would otherwise not shop to do so. It also helps businesses manage cash flow and improve customer service by allowing customers to return unwanted items.
COD is typically offered to customers who don’t have a credit history, such as the case for food delivery companies and those that sell clothing online like Stitch Fix. It’s also a common option for online marketplaces and for companies that ship goods internationally.
In most cases, when a customer chooses to pay for goods with cash on delivery, the seller will pass along the order details to a logistics partner or shipping company who will collect payment from the customer after they receive the shipment. The logistics company then remits the money to the seller.
In most cases, when a customer makes a purchase using the cash on delivery method, the corresponding sale in your sales finance report will be marked as Pending. That means the payment hasn’t yet been collected from the customer, but it will be processed as soon as an invoice is created and sent to the customer. In the meantime, your accounting team will have to manually reconcile payments with individual orders. To help eliminate this clumsy process, consider using accounts receivable automation software. With Versapay, for example, your COD customers can enroll in AutoPay and make payments via credit card as soon as their invoice is issued, even if you’re offering them cash on delivery. Отчитане на онлайн продажби с наложен платеж