Companies provide services and products to generate revenue or profits. Revenue is very imperative for any business. Without getting paid for your services or products, you won’t be able to pay salaries to your staff. You will not be able to make personal expenses or even have the money to get raw materials for production. Small business invoice templates can make it possible. An invoice shows the description of goods sold to a client and the services provided on the demand. In this way, you can easily show how much amount your clients have to pay you.
When a client requests a purchase or hires a company for services, the charges or money he owes are pretty much clear. Both the client and vendor have a clear knowledge of how much will be paid and when it will be paid. But, it doesn’t mean you just sit in your office and wait for the money to come but you need to send a bill to the client. It specifies the amount he owes, services or products against which the money is owed, and the schedule of payment. This bill is commonly known as an invoice.
Importance of Invoices for Small Businesses:
There are various researches that indicate the fact that an average company has around $5,000 to $10,000 in unpaid invoices. For a global organization, it is not a problem when they generate millions of dollars of revenue every month. But for a small company that has a profit figure under $50,000, it can be a problem to be waiting for 10-20% of your profits and not getting paid in time. Let’s face the fact that asking someone to pay what they owe is always awkward whether they are your clients or people in your social circle.
A professional invoice format makes it easy for you to inform your clients or customers about the money they owe you well before time. Not only that the invoice will notify them about the unpaid bills. But this document also includes the description of services or products they purchased. When they made the purchase, then they agree to the schedule of payment described in the purchase order. On the other hand, this professional invoice also helps you keep track of unpaid invoices. It gives you an exact idea of how much money is in pipeline and exactly when it should be paid.
Guidelines to Create A Small Business Invoice:
Running a business successfully is not easy because you have to perform many tasks in a day from managing the staff to managing the finance and keeping the customers happy. It means you have limited time to perform all the tasks in a day. It will be very y difficult for you to prepare a new invoice every time for your customers. Instead of that, you can pre-formatted templates that will help you to prepare your invoice in a few seconds. You just have to put the details and your invoice will be ready.
-
Details of your Company:
Start the invoice by adding details of your company including the name of the company, its address, and the trademark. Usually, businesses have a tag line these days that they use on their letterheads and invoices and if your company also has a tag line, add it on the invoice. It will help create better brand recognition.
-
Details of the Client:
Then you should add the details of the client. Important elements here include; the full name of the client, name of his or her company, street address, and contact information. If the client is in fact another company just like you, add the name of the company and the person who confirmed the purchase order (this person is the authorized buyer from the client’s side).
-
Invoice Particulars:
Then comes the date on which the purchase order was issued, the unique PO number, the date on which the goods or services were delivered, the invoice tracking number, and the date on which the invoice is created.
-
Details of Purchase:
Next is the description of all the products or services delivered to the customer. If you delivered goods or items, make a list of all items one by one. After that add the description of each item. If you deliver services, again, add the description of the services.
-
Total Amount Due:
In front or below each listed product or service that was delivered to the customer, you should mention the due amount. At this stage, there is no need to exclude taxes but this can be done at the end of the invoice. Once you add the amount due for each item or product, make a total of the full due amount. After that add tax value, and finally, mention the final amount due at the bottom.
-
Schedule and Method of Payment:
In the end, you should mention a date before the customer must make the payment. If there was any clause of late payments in the agreement, you can add it here to inform the client that if the payment is not paid in time, he will have to pay an extra amount. And finally, the last this in the invoice is the method of payment. Keep in mind that you should give a couple of options to the client i.e. credit card payment, online deposit, check, or direct deposit.
Below we have posted our own created small business invoice templates. All of these templates are created by seeing the need of the users. They are easily editable and customizable. Meanwhile, the user can make any kind of changes to these templates as per their need. Further, these templates contain formulas to perform the calculations such as subtotal, tax deduction, and the total payable amount. To download these templates, just click on the download button, and your download will start quickly wasting no time.
Free Small Business Invoice Templates:
Here is the download button for this free Small Business Invoice Template in MS Excel Format.
Click the download button to get this free Small Business Invoice Template.
Here is the download button for this free Small Business Invoice Template in MS Excel Format.
Click the download button to get this free Small Business Invoice Template.
Here is the download button for this free Small Business Invoice Template in MS Excel Format.
