Essential Commercial and Financial Documents

Key Commercial and Financial Documents

The Bill (Invoice)

This document is issued by the seller to the buyer, legally proving the sale of goods or the provision of services.

Content of the Bill

The bill must include the following information:

• Identifying Parties: Data identifying both the seller and the buyer.
• Document Identification: Correlative number, ordering and delivery note number, and the place and date of issue.
• Transaction Description and Total Price: Detailed description of the operation, total price, product code, quantity, unit price, total amount for each product, and any applicable discounts.
• Tax Details: Other expenses, taxable base for VAT, VAT tax rate for each product, share of output VAT, surcharge fee, and total equivalence bill.
• Payment Information: The date and method of payment.

Other Essential Purchase Documents

Price List (Price Rate)

This document reflects the ratio of prices for products the company offers in the market. The prices reflected in the price list are binding on the company. Consequently, companies must exercise care in their design and publication. The list must specify the product, unit price, and effective date.

Cost Note

A document used to reflect payments made by the seller to third parties on behalf of the buyer, which are due according to the conditions agreed upon and reflected in the original order.

Transport Document

The transport document serves as both the contract and the invoice for the provision of transport services. Carriers issue this document as proof that a specific service has been rendered and accepted.

Insurance Contract

This is a contract by which the insurer undertakes, upon payment of a premium, to indemnify the insured for damages (within agreed limits) or to provide capital, income, or other agreed benefits, should the event whose risk is being hedged occur.

Elements of the Insurance Contract

• Personal Elements: Insurer and policyholder.
• Real Elements: Object or risk, premiums, claims, and compensation.
• Formal Elements: The Policy document.

Payment Instruments

The Receipt

A document which states that a person has received a sum of money from another person. Receipts are usually issued when a purchase is settled through partial payments to support each transaction. They are typically issued in a matrix form (stub) and the receipt itself.

The Check

A commercial document by which a bank undertakes to pay a certain amount upon the order of one of its customers, charged to their bank account.

Types of Checks

• Shaped Check
• Folded Check
• Nominative Check: Issued for a particular person.
• Bearer Check: Issued to the bearer.

The Bill of Exchange

A commercial document by which one person (the drawer) instructs another (the drawee) to pay a certain amount of money on a specific date or maturity. Payment of the bill of exchange can be made to the drawer or a third party named as the policyholder, beneficiary, or holder, who may have received or endorsed the bill of exchange.