Xero sales and cash terms, defined: invoices, credit notes, payments, and refunds
Sales, collections, and balances can each be measured in more than one way. These are the definitions Ask Alex applies to your Xero and HubSpot records, so a figure means the same thing every time.
By Manny Sidhu · Practical guide · Published · Updated
Sales
Net invoiced sales: posted sales invoices minus sales credit notes, both excluding tax, by the date on each document. Only authorised or paid documents count.
Sales credit note: reduces sales on its own date, whether it was allocated to an invoice, refunded, or left unapplied.
New customer: a Xero contact whose earliest authorised or paid sales invoice, across all the invoice history AirCEO holds, falls within your dates. Each Xero contact counts separately.
Cash
Recorded invoice payment: a payment recorded in Xero against a sales invoice. Its amount is what Xero recorded as paid, so it includes the tax on that invoice.
Customer refund: money paid back to a customer against a credit note, an overpayment, or a prepayment.
Net recorded invoice collections: recorded invoice payments minus customer refunds, by payment date. It is not every dollar received, and it is not a bank balance.
Late payment: a payment dated after the due date of the invoice it paid. A payment made on the due date is on time.
Balances
Outstanding invoice balance: what is still owed on an invoice, including tax, after the payments and credits allocated to it. Customer credits and deposits that are not allocated to an invoice are not deducted.
Overdue: an invoice whose due date has passed on the day the balances were read. An invoice due that day is not yet overdue.
Customers and sales teams
Share of collections: one customer's net recorded invoice collections divided by the total. It is shown only when every payment belongs to a known customer, the total is positive, and no customer's figure is negative.
Linked-cost contribution: a customer's net invoiced sales minus the supplier-bill and Spend Money lines assigned to that customer in Xero. It is not profit.
Won deal value: the total of HubSpot deals marked won, by close date. Closed-deal win rate: won deals divided by won and lost deals together.
Where the definitions appear
These are the definitions Ask Alex uses in its answers, and each answer's receipt repeats the calculation behind its figure. The guides below cover each measure in detail.