Sales Order statuses and what each means

Overview

A sales order's status tells you where it is in its lifecycle. As you create, confirm, fulfill, and invoice a sales order, its status changes automatically or based on your actions.

The statuses

Draft

• What it means: You are still editing the sales order; it has not been confirmed with the customer.
• What you can do: Add, remove, or edit items; change prices; modify customer or delivery details.
• Next step: Confirm the order when it is ready.

Confirmed

• What it means: The sales order has been formally accepted and is ready for fulfillment.
• What you can do: Process the order (pick/pack/ship inventory), but avoid changing core details like quantities or prices without contacting the customer.
• Next step: Create an invoice or delivery note. You may also return to Draft to make changes if needed.

Completed

• What it means: The sales order has been invoiced (or otherwise closed as fulfilled).
• What you can do: View the order, but typically no more edits are allowed.
• Why it matters: Completed orders are archived in your records; they do not appear in "open orders" lists.

Cancelled

• What it means: The sales order has been cancelled and will not be fulfilled.
• What you can do: View the order only; no further changes.
• Why it matters: Cancelled orders do not block inventory or trigger deliveries; they serve as a record of what was promised but not delivered.

Status transitions and rules

• Draft → Confirmed: You confirm the order explicitly.
• Confirmed → Completed: Usually triggered when you create an invoice or mark the order as delivered.
• Confirmed or Draft → Cancelled: You cancel the order if the customer cancels or you no longer need to fulfill it.
• Any → Draft: In some cases, you may revert a Confirmed order back to Draft to make changes.

Impact on accounting and inventory

• Draft orders do not affect inventory or accounting.
• Confirmed orders may affect inventory (reserved stock) if your system is configured to reserve items on confirmation.
• Completed orders are locked for audit purposes; invoices and other transactions are final.
• Cancelled orders release any reservations and are recorded as non-deliveries.