The gate, the railing and their installation on one invoice, with the advance you took at the order paying part of it.
Whether you make a gate for a villa or a railing for a contractor’s building, what you make is a product and the installation a service, on the same invoice.
Blacksmith Workshop Accounting in Saudi Arabia starts with the invoice the work leaves your workshop on. In Riyadh, Jeddah or Dammam, the blacksmith measures the opening, agrees the price and takes an advance, then cuts, welds and fits the steel on site. In Qoyod, record the gate and the railing as products with their units, the installation as a service and the advance as a receipt in the customer’s name, then issue the sales invoice and let that receipt pay part of it.
1. A blacksmith workshop: where do the numbers slip between measuring and fitting?
Before you pick accounting software for a blacksmith workshop, look at what a single order leaves behind: a measurement on a scrap of paper, an advance in the blacksmith’s pocket, a steel invoice nobody can find, and a contractor who takes his building’s railings and pays at the end of the month.
A measurement on a scrap of paper
The blacksmith notes the opening’s width and height with a price beside them, the price changes when the customer asks for another style, and the office cannot tell which figure was finally agreed.
With Qoyod: write the price as a quotation with the gate and installation lines and an expiry date, depending on your subscription.
An advance in the pocket
The blacksmith takes the advance in cash at the order, and a week goes by before the accountant learns the customer paid anything.
With Qoyod: record the advance as a receipt in the customer’s name on the day you take it, then use it to settle the invoice once it is issued.
The steel invoice at the supplier
You buy pipes, angles and sheet from the steel supplier, the prices move from one order to the next, and the invoices end up scattered between the van and the workshop.
With Qoyod: enter each one as a purchase invoice in the supplier’s name and check what you owe on the supplier statement, depending on your subscription.
A contractor who pays later
The contractor orders one building’s railings, then another’s, and pays what he can at the end of the month, so the amounts for each building blur together.
With Qoyod: issue him credit invoices, and check his balance on the customer statement.
2. A villa gate and its staircase railing, from measuring to fitting
A villa owner in Jeddah ordered a gate for the entrance and a railing for the staircase. Follow the order in five stops; each one adds a line to the journey card.
Stop 1: The blacksmith measures and quotes
From the opening’s size and the staircase’s length, prepare for the owner, depending on your subscription, a quotation with the gate, the railing, the installation and its expiry date, and once it is approved turn it into a sales invoice.
Stop 2: The owner pays the advance
Create a receipt in the owner’s name for the advance; it shows as unused while it is not allocated to any invoice.
Stop 3: The steel arrives from the supplier
Enter the supplier’s invoice as a purchase invoice, and the steel you bought for this order without storing it shows in the income statement from the day you record it, depending on your subscription.
Stop 4: The gate and the railing are fitted
Issue the sales invoice with the gate, the metres of railing and the installation as you handed them over.
Stop 5: The advance pays part of the invoice
Press Pay on the invoice and pick the advance receipt: the receipt shows as used because its whole value is allocated, and the invoice shows as partially paid until you record another receipt for the rest.
Every subscription covers a different scope, and some stops on this journey are available only in a higher one, so ask our sales team which fits your workshop.
3. Blacksmith Workshop Accounting in Saudi Arabia: six tasks from the workshop to the site
Every piece of steel that leaves the workshop leaves a mark in the books: a price agreed, an advance taken, steel bought and an installation sold. These are six tasks you record in Qoyod.
Gate, railing and installation on one invoice
Add the gate as a product with the piece as its unit, and the railing as a product with a unit you pick from the list or add with “+”, such as the linear metre, because a unit of measure is mandatory for every product. Add the installation as a service that is not stored and not bought, with a default selling price, a revenue account, a tax and a unit to measure it by, such as the hour or the piece. Then gather the lines on one sales invoice with the Add more button, and change the unit price on a line if you agree another price with the customer.
A quotation from the site measurements
After the blacksmith takes the measurements and the customer picks the gate’s style, prepare, depending on your subscription, a quotation with its lines and an expiry date, and send it or save it as a PDF. Once the quotation is approved you turn it into a sales invoice, and its status becomes invoiced. Qoyod has no per-customer price lists, so if you give a contractor a special price per metre, type it into the unit price on the invoice line.
The advance as a receipt waiting for its invoice
From Sales open Customer receipts, then Create customer receipt, pick the customer and enter the advance. The receipt stays unused until you allocate it to an invoice; then you press Pay on the order’s invoice and pick it. If the customer pays the rest in two goes, each payment gets its own receipt, and more than one receipt can be allocated to a single invoice.
Steel bought for a particular order
Enter the steel supplier’s invoice as a purchase invoice and pay it in full or in parts, depending on your subscription. What you buy for a particular order without storing it shows in the income statement as soon as the invoice is recorded, depending on your subscription. The charge for carrying the steel to the workshop you first define as an expense in Products and costs, then add as a line on the purchase invoice, depending on your subscription. Follow what you owe each supplier on the supplier statement, depending on your subscription.
Parts you sell as they are
The locks, hinges and sliding-gate wheels you keep in the warehouse you can make stored products, depending on your subscription: their quantity goes up with every purchase invoice and down when you sell them as a line on a sales invoice. The product cost and margin report shows each part’s available quantity and average unit cost, and relies on purchases and stock being switched on, depending on your subscription.
A contractor taking several buildings on account
The invoice of a contractor who takes his building’s railings on account stays a credit sale until he pays; the customer statement report shows what he owes, and you compare his receivables between periods in the customer ageing report, depending on your subscription. If you want each building’s figures on their own, the alternative Qoyod documents is to record the building as a project with the contract number, its two dates and its value, and pick it under Additional information on the sales and purchase invoices that belong to it, depending on your subscription. What comes off an invoice after it is issued, such as a metre that was not fitted, you record as a credit note that lowers his account.
4. Metal-works invoices and the Zakat, Tax and Customs Authority
A villa owner or a contractor?
These are the two kinds of tax invoice, by buyer:
- For an individual customer: a simplified tax invoice that you hand over at the sale, and in Phase 2 it is reported to the Authority within 24 hours of issue, depending on your subscription.
- For a contractor, a company or a government body: Qoyod issues a tax invoice that the Authority clears first, before it reaches the customer, with Phase 2 linkage depending on your subscription.
Tax on the invoice lines
Each product and service you define has a default tax picked from your business’s taxes; it shows on the line and you can change it there. In the Kingdom, the standard VAT rate is 15%. At the end of the period, the VAT return form report gathers the invoice figures, and you file the return yourself on the Authority’s portal.
Phase 2 linkage with the Authority is available depending on your subscription, so ask sales about it.
5. Your workshop’s books, between you and your accountant
Your accountant, or the firm that reviews your workshop’s accounts, works in the same books in Qoyod: you follow customers and receipts, and they review the documents and the reports.
What you follow
- Each customer’s and contractor’s balance on the customer statement.
- The status of every advance receipt: used, partially used or unused.
- What you owe each steel supplier on the supplier statement, depending on your subscription.
- Each building’s figures in the income statement filtered by its project, depending on your subscription.
What your accountant reviews
- Sales invoices, receipts and credit notes, plus purchase invoices and quotations depending on your subscription.
- The income statement, the balance sheet and the trial balance.
- The VAT return form report at the end of each period.
- Reports exported as Excel or PDF.
Your accountant can have a user account in Qoyod with the role and permissions you give them, depending on the number of users in your subscription.
6. Other Qoyod products
The workshop’s accounts live in Qoyod Accounting, while the payroll and attendance of your blacksmiths and fitters live in Qoyod HR, a separate product on its own subscription.
Qoyod HR
For a blacksmith workshop with smiths and fitters in one branch or more.
Qoyod HR is a Saudi HR system, and the connection to Qoyod Accounting is now available.
- Payroll with earnings, allowances, deductions and advances, and the WPS file ready from the payroll run itself.
- Attendance across your branches, with late hours and overtime carried into the payroll.
- Every document in the employee file, such as the iqama and the contract, with its expiry date and an alert before it.
7. Frequently asked questions
Which invoice do I issue to a villa owner, and which to a contractor or a company?
A villa owner is an individual customer, so he gets a simplified tax invoice that in Phase 2 is reported to the Authority within 24 hours of issue, depending on your subscription. For a contractor, a company or a government body, Qoyod issues a tax invoice that the Authority clears before it reaches them, with Phase 2 linkage depending on your subscription.
How do I put the gate, the railing and the installation on one invoice?
Open Products and costs and press Create products and costs, add the gate and the railing as products, and pick each one’s unit of measure or add the unit with “+”. Add the installation as a service with a default selling price, a revenue account and a tax. On the sales invoice pick the gate as the first line, add the railing and the installation with Add more, and type each line’s quantity.
How do I record the advance a customer pays at the order?
Create a receipt for him from Customer receipts in the Sales menu before you issue any invoice, and the receipt stays unused. When you issue the order’s invoice, press Pay on it and pick the receipt; if the customer pays the rest later, record it as another receipt, since more than one receipt can be allocated to a single invoice.
How do I follow what a contractor owes on each building?
The customer statement report shows the contractor’s invoices, receipts and balance. If you want each building’s figures on their own, the documented alternative is to record the building as a project in Tasks and Projects, depending on your subscription. Then pick it under Additional information on its invoices, and open the income statement from Advanced analysis filtered by the project, depending on your subscription.
Does Qoyod work out steel weights or draw the gate?
Qoyod is accounting software, and this page covers sales invoices, receipts, credit notes and customer balances, plus quotations, suppliers, purchase invoices, stored products and projects depending on your subscription. Drawing gates, working out steel weights, cutting lists and allocating workers to sites are not shown here.
Does the free trial include quotations, purchases and stock?
No. The free trial covers accounting, sales invoices, customer receipts and credit notes; it does not cover quotations, suppliers or purchase invoices, stored products, expense items or projects, Phase 2 linkage with the Authority, or more than one user. All of these depend on your subscription, so ask sales which subscription fits your workshop.
That is how a blacksmith workshop’s accounts meet in Qoyod: the gate and its installation on an invoice, the advance on a receipt, and a statement for every customer.
