What Is a Credit Note in Recruiterflow?
A credit note is a negative billing entry on a placement record. It reduces the revenue logged against that placement and is used when a client is owed money back, a fee needs to be partially or fully reversed, or a billing adjustment needs to be recorded without touching the original entry.
Credit notes are added as custom tranches. A custom tranche is a manual billing line item you can attach to any placement - positive for additional charges, negative for credits. Every credit note you log is reflected immediately in the job's Billing tab and in your revenue reports.
Credit notes work across all placement types: Contingent, Retained, RPO, Contract, and Temporary.
When to Issue a Credit Note
Candidate leaves shortly after placement: The client was billed, a replacement is being sourced, and you need to reverse the original fee, either partially or in full, against the new billing
Early termination refund: The client is contractually owed money back and you need to log a credit against the placement fee
Fee dispute resolution: A portion of a placement fee is being waived or written off and you need that reflected in your revenue records
Billing correction: A revenue entry was logged at the wrong amount and you need to offset the difference without deleting the original record
How to Issue a Credit Note
Step 1: Open the billing record
Navigate to the job, go to the Billing tab, and open the relevant billing record.
Step 2: Add a custom tranche
Inside the Billing tab, locate the + icon and click Add custom tranche. This is where the credit note will be entered.
Step 3: Enter the credit note details
Fill in the following:
Amount: Enter a negative value for the credit (e.g. −$5,000). This is what reduces the revenue on the placement. If you're reversing the full fee, enter the original fee amount as a negative
Billing Date: The date the credit applies to, typically the date of the agreement or reversal
Add any additional details, then click Save. The credit note is applied to the placement record immediately.
Where the Credit Note Appears
Once saved, the credit note is reflected in two places:
Job Billing tab: The credit note appears as a line item alongside the original billing entry. Total Revenue updates immediately to reflect the adjusted figure
Revenue reports: The negative value is included in revenue report totals for that placement, reducing the revenue figure by the credit amount. Your reports always show the net number
Practical Example
You place a candidate on a contingent search and bill the client $18,000. The candidate resigns three weeks in. You agree to credit the client $18,000 and begin sourcing a replacement. You open the original placement's Billing tab, add a custom tranche of −$18,000, and save it. Recruiterflow immediately updates the placement's revenue to $0. When the replacement is placed and billed at $18,000, your revenue reports show $18,000 net, which is exactly what you earned.
Things to Know
Credit notes are entered as negative values on a custom tranche. There is no separate "credit note" button. The custom tranche field handles it
You can add multiple credit notes to a single placement record
A credit note does not delete or modify the original billing entry. It sits alongside it as a separate line item, so your audit trail stays intact
Credit notes work across all placement types: Contingent, Retained, RPO, Contract, and Temporary
Partial credits are supported. Enter any negative amount, not just the full fee value