Quote to cash (QTC)
Also called Q2C
The wider revenue process that starts before order-to-cash, at pricing and quoting a deal, and runs through contracting, billing and collection.
Quote to cash adds the commercial front end to order-to-cash: configure-price-quote (CPQ), contract negotiation and approval. Once a deal is signed, the flow continues through order management, invoicing, collections and cash application.
The distinction matters because many receivables problems start upstream. A discount agreed in a quote but missing from the contract, or billing terms that don't match the customer's purchase order, shows up weeks later as a dispute or a short payment.
Further reading
Related terms
- Order to cash (O2C)The end-to-end process from receiving a customer order to collecting and applying the cash for it: order management, credit, invoicing, collections and cash application.
- Purchase order (PO)A buyer-issued document authorizing a purchase at agreed quantities and prices. Many buyers won't pay an invoice that doesn't reference a valid PO.
- Invoice disputeA customer's objection to an invoice, for example to its price, quantity, terms or delivery, that holds up payment until it's resolved.