Purchase order to invoice flow

The steps in the chain

The flow usually runs: purchase order, then a delivery challan as the goods move, then inspection or acceptance by the buyer, then the tax invoice, then acknowledgement, and finally payment. Each step produces a document and a date.

For a supplier, the receivable is only as reliable as the chain behind it: a purchase order without a matching invoice, or an invoice without an acknowledgement, is where disputes and delays begin.

Why tracking the whole chain matters

When each bill carries its own history — the order it came from, the challan that moved the goods, the date it was accepted — you can see exactly where a payment stands and which step is holding it up.

This is also what makes the MSME 45-day clock meaningful: the clock runs from acceptance, so the acceptance date has to be captured, not assumed.

How Lekha tracks the flow

Lekha tracks each bill from purchase order to challan, inspection, invoice, acknowledgement, and payment, with buyer-wise aging and a follow-up log per bill.

Lekha records what your documents say and tracks the money on both sides — what you owe and what you are owed. It records and tracks; it does not replace your accountant.

Questions

What is the order-to-invoice flow?

It is the sequence from purchase order to challan, delivery, acceptance, tax invoice, acknowledgement, and payment — the chain a sale travels from order to money.

Why track the full chain instead of just the invoice?

Because a receivable's status depends on the steps behind it. Tracking the order, challan, and acceptance dates shows exactly where a payment stands.

How does this relate to the MSME 45-day clock?

The clock runs from the date the buyer accepts the goods, so capturing the acceptance date in the chain is what makes the 45-day count accurate.

Keep reading

• Receivables vs payables
• The MSME 45-day payment rule
• See how Lekha works
• All Lekha guides