Today is the day to discuss one of the most essential components of running your small business: The Invoice
You already know that an invoice is one of your most crucial communications which ensures the inflow of cash into the company. But, how does the document should exactly look like?
Too Formal? How much is enough? How to reflect your brand efficiently in it?
Let us now get into the blog and see the important components you must include in an invoice:
The Basic Connectors of a Small Business Invoice:
Designing an invoice is always considered as self-explanatory. Entrepreneurs who know already do not focus much on explaining the details of an invoice, rather expect you to have the same level of expertise. Do not worry more! Here we will explain completely the components of a fully professional invoice and their importance of placement too.
1. Company’s Name And Contact Details
At the very top of your invoice mention your company’s name and just beneath that your complete contact details. Fill all of your information easily with a pre-designed template available in your small business invoice software. It is easy, reliable and smooth.
2. Fill in Your Client’s Name and Contact Information
How will you send an invoice, if you’ll not fill in the client information? It is crucial to fill the information, moreover the right information of your client and their billing address. Include all the relevant information including mail id, physical address and contact details in the pre-designed invoice template available in your invoicing software for small business.
3. Number your Invoice
Make sure each invoice that you’re creating has a unique number associated to it. It will be easy for you to recognize it and payments related to it.
Generally, an invoice is numbered as: ‘Invoice #0001’ or you can even use a more unique code such as #CLIENTA0023.
4. The Important Dates- Sent and Due
Not just mention due date on the invoice, but the issue date of the invoice too. As missing any one of it will make the other date vague and client clueless about how to take further actions.
You can specifically mention the invoice due date upon receipt, upon completion of a project or delivery of a product, on a specific date in the future, and so on.
5. Provide a breakdown of products/services offered
It is important to provide an itemized list of all the product and services offered. It gives your client a clearer view of everything that you have offered your clients. It reduces the chances of consequences and fallouts later in the course of time.
For example, if you sell a product, include in your invoice should list each item purchased, the purchased quantity, the cost per sold item, and then the final price. If you’re providing a service, your invoice should list the flat fee you charge for that service, or the hourly fee you charge and the total hours worked. Also clearly note the date when that service was provided (or will be provided in the future).
6. Specify Payment Terms
In your invoice, clearly specify payment terms. Apart from the due date, tell your clients about various payment gateways and other instructions about payments. Include late payment fees details and other instructions to make your payment process transparent and clear.
Each type of business has different industry standards for payments and terms. look closely for the standards your industry is following and adopt them.
Also, earning some extra income is not even a bad idea. check out the top 30 Small Business Ideas to make money in 2019 and add them to your same Invoicera account. It will help you manage multiple businesses in the same account without any hassle.
7. Add Personal Notes
It is nice to leave a brief personal message for your customer, even if it is just a thank you note for doing the business with you.
A personal note will give your entire personal communication a bit more personal touch and avoid your client getting the feelings of a money vending machine. You will then be building relations and such relations will work for you in the future.
| Must Read: Top 5 tips to managing Small business Finances
Finally, pay high attention to how your small business invoice looks. Critically design it on templates available with Invoicera’s billing software for small business. It’s an extension of your brand, after all! You cannot simply play around vaguely. Add business logo, colors and fonts to clearly state it as your extension. Let your invoice stand out amongst others with the help of billing software for small business.
It is where Invoicera’s small business invoice software can help you simplify the invoicing process. At Invoicera, we have everything you need to create and manage to invoice for small business. Send professional invoices via email or even save them as PDF for future.