Presenting A Bill For Services Rendered

It's probably more healthy when we present a bill after providing a service. While trying to be generous, we don't provide a bill. Instead we carry it internally as AR = Accounts Receivable instead of writing it off as an expense.

This, charging to AR, is horrible because only we know we have debited the other person's account while they aren't even aware of it.

This has two disadvantages:

1. We carry a baggage = AR which will rarely get paid because it was never presented to the other party and hence ultimately has to be written off which is very painful. Our internal finance department, like any other external one, cringes at the idea of writing off an AR.
2. The other person thinks he has got it free because of his charisma and they think we are bound to continue to give it free because of the norm that has been established of getting services free.

We usually think more highly of a thing that we pay for than which we get free. 

God, what a crappy situation. And what an ugly game both parties indulge in.