invoiceToday, most accounting software programs allow you to design your company’s invoice within minutes. Just key in some information, drop your logo into the template and you are in business. Some accounting software may not walk you through everything you need to include in your invoices, however. Having thorough, accurate information ensures that the invoice can be tracked and there is a better chance of the customer paying on time. Here are eight critical things to add to your invoices before sending them out:

Company Letterhead or Logo

This gives your invoice an official look and assures the customer that the invoice is from your company. Make sure the word “invoice” or “bill” is displayed prominently near the top of the page.

Contact Information

Include the full name, address, phone number and other contact information for your company and the client’s company. Include the name and phone number of a contact person at the client’s company—make sure this is the person who will actually be processing the payment to avoid confusion or delays.

Invoice Reference Number

The reference number helps you track the invoice for accounting purposes. When a customer makes payment, ask that they reference the invoice number so you can reconcile accounts more easily.

Invoice Date and Due Date

These dates show the customer how long they have to make the payment.

Description of the Work

Make sure to include a full description of the goods or services provided so that it is easy to understand for anyone who receives the invoice. Avoid using abbreviations or industry shorthand.

Cost Details

Add a column that shows the number of hours worked, units purchased, and the cost of each of those items. Provide separate entries for the amount of sales tax as well as any discount you might have agreed to provide the customer.

Invoice Total

Make sure the total charge is displayed prominently near the bottom of the invoice.

Payment Methods

Outline the different ways you will accept payment, as well as the payment terms and your company’s bank account details.

For information about our industry-leading invoice factoring services, contact RTS today!

Sources: Entrepreneur.com, WikiHow.com, AmericanExpress.com

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