SOP Templates > HVAC > Finance & Accounting > Progress Billing & Invoicing Process

Progress Billing & Invoicing Process for HVAC

The Progress Billing & Invoicing Process workflow supports HVAC contractors by creating a structured system for milestone-based billing. It includes verifying work progress, preparing invoices, securing approvals, and reconciling billing against budgets. Managers maintain accuracy and ensure compliance with contracts. By following this workflow, HVAC companies reduce disputes, protect margins, and improve efficiency. Clients benefit from progress-based billing transparency. Teams gain accountability through documented approvals. With this workflow in place, HVAC contractors can strengthen professionalism, improve cash flow, and deliver projects more reliably with financial control at every stage.

Review contract billing terms (schedule of values, milestones, or % complete)

Confirm current work progress with field team or site walk

Calculate percent complete for each line item or milestone

Draft the billing application or invoice with updated totals

Include approved change orders and any required documentation

Apply retainage according to contract terms

Attach backup documentation (photos, timecards, material receipts, etc.)

Review draft billing with project manager or leadership

Submit invoice or pay app to client or GC by required date

Confirm receipt and follow up on approval status

Track invoice aging and update accounts receivable records

Log payment once received and update job cost tracking

File billing documents and confirmations in project records

Communicate payment status with internal team

Review contract billing terms (schedule of values, milestones, or % complete)

Confirm current work progress with field team or site walk

Calculate percent complete for each line item or milestone

Draft the billing application or invoice with updated totals

Include approved change orders and any required documentation

Apply retainage according to contract terms

Attach backup documentation (photos, timecards, material receipts, etc.)

Review draft billing with project manager or leadership

Submit invoice or pay app to client or GC by required date

Confirm receipt and follow up on approval status

Track invoice aging and update accounts receivable records

Log payment once received and update job cost tracking

File billing documents and confirmations in project records

Communicate payment status with internal team