diff --git a/app/code/community/Phoenix/CashOnDelivery/Model/Observer.php b/app/code/community/Phoenix/CashOnDelivery/Model/Observer.php
index fdf3638..b0f7478 100644
--- a/app/code/community/Phoenix/CashOnDelivery/Model/Observer.php
+++ b/app/code/community/Phoenix/CashOnDelivery/Model/Observer.php
@@ -110,4 +110,32 @@ public function order_cancel_after(Varien_Event_Observer $observer)
 
         return $this;
     }
+
+    /**
+     * Invoice and set status to Cash On Delivery if order payment type is Cash on Delivery
+     *
+     * @param Varien_Event_Observer $observer
+     * @return void
+     */
+    public function invoice_cashondelivery($observer)
+    {
+        $order = $observer->getEvent()->getOrder();
+
+        if ($order->getPayment()->getMethodInstance()->getCode() === 'phoenix_cashondelivery'
+            && $order->canInvoice()
+            && Mage::getStoreConfig('payment/phoenix_cashondelivery/order_invoice')
+        ) {
+            $invoice = Mage::getModel('sales/service_order', $order)
+                ->prepareInvoice();
+
+            $invoice->setRequestedCaptureCase(Mage_Sales_Model_Order_Invoice::CAPTURE_OFFLINE);
+            $invoice->register();
+
+            $transactionSave = Mage::getModel('core/resource_transaction')
+                ->addObject($invoice)
+                ->addObject($invoice->getOrder());
+
+            $transactionSave->save();
+        }
+    }
 }
diff --git a/app/code/community/Phoenix/CashOnDelivery/etc/config.xml b/app/code/community/Phoenix/CashOnDelivery/etc/config.xml
index e8cb818..8ae2dc9 100644
--- a/app/code/community/Phoenix/CashOnDelivery/etc/config.xml
+++ b/app/code/community/Phoenix/CashOnDelivery/etc/config.xml
@@ -132,6 +132,15 @@
                     </phoenix_cashondelivery>
                 </observers>
             </order_cancel_after>
+			<sales_order_place_after>
+				<observers>
+					<phoenix_cashondelivery>
+						<type>singleton</type>
+						<class>phoenix_cashondelivery/observer</class>
+						<method>invoice_cashondelivery</method>
+					</phoenix_cashondelivery>
+				</observers>
+			</sales_order_place_after>
         </events>
         <pdf>
             <totals>
diff --git a/app/code/community/Phoenix/CashOnDelivery/etc/system.xml b/app/code/community/Phoenix/CashOnDelivery/etc/system.xml
index 4cb306a..1264175 100644
--- a/app/code/community/Phoenix/CashOnDelivery/etc/system.xml
+++ b/app/code/community/Phoenix/CashOnDelivery/etc/system.xml
@@ -83,6 +83,15 @@
                             <show_in_website>1</show_in_website>
                             <show_in_store>1</show_in_store>
                         </order_status>
+                        <order_invoice translate="label">
+                            <label>Invoice Order</label>
+                            <frontend_type>select</frontend_type>
+                            <source_model>adminhtml/system_config_source_yesno</source_model>
+                            <sort_order>45</sort_order>
+                            <show_in_default>1</show_in_default>
+                            <show_in_website>1</show_in_website>
+                            <show_in_store>1</show_in_store>
+                        </order_invoice>
                         <sort_order translate="label">
                             <label>Sort order</label>
                             <frontend_type>text</frontend_type>