Provider Invoice
A provider invoice is the bill a Cloud Solution Provider receives from Microsoft or a distributor for the subscriptions and usage supplied during a billing period. It is the supplier side of CSP billing, and partners reconcile it against customer invoices to confirm accuracy and margin.
Key Takeaways
- The bill the partner receives from Microsoft or a distributor.
- The supplier side that customer billing is reconciled against.
- Contains subscription charges, usage, and adjustments for the period.
- Accurate reconciliation of it protects margin.
How the provider invoice fits CSP billing
Each period, the partner receives the provider invoice, then reconciles its lines against provisioned subscriptions and customer contracts before finalizing customer invoices. The provider invoice is the reference point for what the partner was actually charged.
Why it matters for Microsoft CSPs
The provider invoice and the customer invoice rarely match on their own. Reconciling the two is how partners confirm they are billing customers for what they were charged, which is where margin is protected.
How Work 365 supports this
Work 365 reconciles provider charges against subscriptions and usage automatically. See Billing and Invoicing.
Related terms: Invoice Reconciliation, CSP Billing Reconciliation, Provider.
FAQ
Who issues a provider invoice?
Microsoft or the distributor that supplied the subscriptions and usage.
What is the provider invoice used for?
As the supplier side of reconciliation, matched against what customers are billed.
