Introduction

The AgriChain platform offers two distinct invoicing options tailored to suit varying business requirements. This guide provides insights into these two options, highlighting their functionalities and implications within the context of a broker note or commodity contract.

Invoicing Options

Seller to Invoice Buyer

Under this option, the responsibility for generating commodity contract invoices rests with the seller or the broker representing the seller.
If the invoicing type specified in the contract is "Seller to Invoice Buyer," the seller or their designated broker will have the authority to generate commodity contract invoices for the respective contract.

Buyer/Customer RCTI (Recipient Created Tax Invoice)

In contrast, the Buyer/Customer RCTI option shifts the invoicing responsibility to the buyer or the broker representing the buyer.
When the invoicing type specified in the contract is "Buyer RCTI," the buyer or their designated broker assumes the responsibility for generating commodity contract invoices for the contract in question.

Key Considerations

Contractual Agreement

The choice between these two invoicing options is typically outlined within the terms of the contract or agreement between the involved parties.

Financial Responsibility

The selected invoicing option determines which party, either the seller or the buyer, bears the responsibility for generating and managing commodity contract invoices.

Broker Representation

In scenarios where brokers are involved, they may act on behalf of either the seller or the buyer based on the specified invoicing type in the contract.

FAQs

Can a seller generate invoices if the invoicing type is set to buyer RCTI?

No, under the Buyer RCTI option, the responsibility for generating invoices lies with the buyer or their designated representative.

What if there is a broker involved in the transaction?

Brokers may act on behalf of either the seller or the buyer, depending on the invoicing type specified in the contract.

How is the invoicing type determined?

The invoicing type is typically determined and agreed upon during the negotiation and drafting of the contract terms.

Can the invoicing type be changed after the contract is established?

Any changes to the invoicing type would require mutual agreement and a formal amendment to the contract terms by all involved parties.