No one wants the payments to get delayed. To keep the cash flow stable, you need to ensure that all payments are processed on time. While creating invoices, a simple mistake or error can cause a significant delay in the payment or can cause a serious dispute between the concerned parties. Imagine missing out on a certain tax or entering the wrong date, and getting your payment delayed for another week. You surely don’t want that to happen.
Well, there is a solution to everything. In order to save yourself from any such miserable situation, here are a few tips you should always keep in mind.
Never miss out on mentioning the required contact details of your company. At the top of invoice, enter your company’s name, address, phone number, and email address. You can even add the website there too. This general pre-forma is expected to be followed strictly. Go for an invoice template which lets you easily fill up your contact details.
Needless to mention, this is also an important step to be followed. Just as you enter your details, make sure to add the receivers address on the top as well.
It is essential to add the receipt number on the invoice and is considered a good practice. Despite the fact that it’s anything but an order, it is valuable in a situation if there is a spat between the two parties. Likewise, it helps in better receipt following and administration.
While creating an online invoice, always keep in mind that you can never afford to ignore adding standard particulars such as product/service, unit cost, quantity, price, discount, and tax in the invoice. With these fields entered in the invoice, it becomes self-explanatory and the client won’t have any excuse to delay the payment.
In a few cases, it becomes a kind of necessary to include a concise description of the item or service your customer purchased from your company. It is encouraged to have this field in the receipt as your customer would know precisely what item he has bought from you or the idea of services that have been provided to him. It also adds to the overall layout of your invoice and gives it a complete look.
The terms of service are to invoice what ketchup is to your fries. But, unfortunately, many freelancers, small businesses, and service providers prepare and forward invoices without adding terms of services. Along with other points, your terms of service must include a due date and penalty applicable if payment is made after the due date.
An invoice app offers many features including a layout where you can easily fit in terms of service.
If you are a small business or corporation, now is the time to shift your financial and accounts management to an invoice application that will streamline the affairs of your account.