This FAQ refers to Paddle Invoicing, a new beta feature that enables Sellers to send personalized invoices and request high-value payment via wire transfer. If you’d like to find out more, email us.
To send an invoice, you need to set up a Product in Paddle first. You can do this under Catalog > Products. This appears as the line item in the invoice, and you can add custom pricing per invoice.
You can create invoices through the Paddle dashboard or in your own systems using the invoicing API. To set up the invoicing API, get in touch. When sending an invoice to a customer for the first time, you need to enter their details - email, company name, any VAT or sales tax registration numbers, etc. These details are saved, so you can easily send additional invoices later without entering all their information again.
While you are required to select a product from your products list when setting up an invoice, product fulfilment does not currently work with invoicing, and you will need to handle the fulfilment on your side”
Please note that at the moment, it’s not possible to create an invoice with multiple line items or with multiple quantities.
When payments are received, invoices will be marked as paid, visible in the Invoicing list. At this time, paid transactions won’t appear in your Paddle balance, in reporting, or in other areas of the Paddle dashboard.
Paddle processes wire transfer payments each morning (GMT). Once a transfer has been made, it should be received and reconciled within 2-3 working days. Sometimes, payments can be delayed because of timings between initiating the transfer and Paddle processing that payment, bank-to-bank payment delays, or errors in the wire transfer when it was submitted.
At this time, you can create invoices in US Dollars, Euros, and British Pounds. We’re investigating other currencies based on demand; let us know by email if there are other currencies you would be interested in supporting. Your customers will receive different wire transfer payment details based on their location and currency.
The invoice is sent via email, with a copy in the email body and as a PDF attachment.
You can also download an invoice as a PDF to save a copy for your records or send to a buyer by request.
Depending on the amount difference, Paddle may be in touch with the customer to request the shortfall or refund any overpayment. Let your account manager know (or get in touch by email) if you do not want Paddle to contact your customer.
When an invoice is sent, paid or becomes overdue, the invoice status in your Paddle Invoicing dashboard will change. In the Paddle dashboard, you can set up alerts to notify you via webhooks or email when an invoice is sent, paid or overdue. Click here to learn more about the invoicing alerts.
At this time, it’s the responsibility of the seller to manage late and overdue payments. We’re investigating how we can help scale delinquency management through automation and human intervention - let us know by email if you’re interested.
On the 1st of each month, your balance - the amount we have reconciled and confirmed as Paid - is calculated. This is transferred to you by the 15th of that month, at which point your payout will be listed as ‘Completed’. You can receive your payment either via wire transfer, PayPal or Payoneer. You’ll also receive a ‘reverse invoice’ from Paddle, detailing the balance exclusive of Paddle’s fees and any other applicable charges.
Paddle’s Buyer Terms need to be appended in your Terms & Conditions or referenced in the order form or contract between you and your customer. Paddle will supply the Buyer Terms to be used.
You will need to let your existing customers know that you are working with Paddle as a reseller. Your existing customers should be informed of the Paddle Buyer Terms and acknowledge via email. Paddle can supply a PDF of the terms and conditions, along with an email template with information to include.
It’s not possible to import existing customer data into Paddle through the dashboard. If you have a large number of businesses to set up for invoicing, let us know by email.
Sales tax is applied to invoices according to the customer’s country and state or province, using our constantly updated tax logic. This works much like in the Paddle Checkout.
When a valid VAT or Sales Tax number is entered for a customer, the amount of sales tax is then revised ahead of sending the invoice to the customer.
When it comes to sales tax exemption certificates, currently the process is as follows. Once a customer has paid for an invoice they have been issued, Paddle will manually review the customer’s tax exemption certificate where one has been provided. Once this review has been completed - which we resolve to do as quickly as possible - we will refund the paid tax back to the customer. This can currently only happen once the invoice has been paid, though we are reviewing ways to streamline this process in the future.