How to create a professional invoice template (with sample invoice templates)
What is an invoice?
An invoice is a commercial document issued by businesses to indicate a transaction, and request payment for the product or service provided. In today’s business world, there are certain expectations around how we talk about money. An invoice is a powerful communication tool that ensures payment in a timely manner, and also makes a good impression on clients, setting the stage for long-term relationships. This invoice template guide will discuss everything you need to know about invoicing, and why it’s important to get it right.
The power of a professional invoice
Accurate billing is extremely important for anyone running a business. It can be the difference between building trust and doing more business with your customer, and leaving them with a bad impression because a small detail was left out, or misrepresented. Business owners who provide detailed, prompt invoices straight to the customer’s inbox come out way ahead in the credibility stakes. Here’s our tips on creating a professional invoice that builds trust with your customers:
BE TRANSPARENT
Your client wants to know exactly where their money is going, and your invoice is a great vehicle for communicating the nitty gritty details of the job. Be specific rather than general with your line items. Instead of listing “materials” as a single expense, list each one on its own line, such as: paint, nails, plywood, etc. It’s also a good idea to attach receipts to back your claims. Don’t risk having your customer wonder if you’re padding the bill.
USE A DIGITAL FORMAT
Using a digital format is one way to ensure your invoice is professional, and to indicate that you’re likely to use the latest tools, and follow best practices, on the job. Simple mobile apps like Invoice2go will allow you to create and send professional estimates and invoices on site when the project is still fresh in your client’s mind. Invoice2go can even store receipts so you have a real-time way to keep your expenses organized, and ready to show at any time.
TRACK YOUR TIME
Time is money, so it’s vital to keep track of it. It will also help you learn how long it will take to complete similar projects in the future. Accurate time tracking also adds a level of transparency to your billing and helps you get paid what you deserve. Invoice2go’s time tracking feature gives you a simple way to keep track of every minute you work, and add it straight to your invoice for straightforward billing when you’re done.
Learn more about how to make your invoices more effective, and how to add your tracked time straight to your invoice from the Invoice2go blog
Invoice2go mobile app
HOW TO CREATE AN INVOICE
Creating and sending an invoice with Invoice2go is quick and simple – You can do this on your home computer, tablet, or mobile phone. Here’s how:
Step 1 – Tap Create from your home screen, and select ‘Invoice’.
Step 2 – Add a client. Tap ‘Add client“, and select “+” to add a new client, or select from your saved client list.
Step 3 – Add an item. Tap ‘Add items‘ and add a saved Item, Expense or Time entry to your invoice. Or you can create a new item by tapping “+”.
Step 4 – Include any other details you choose: A discount, request for a deposit, payment details, or a personal comment. Attach receipts or photos of the job if you have them.
Save, Preview, and Send your invoice by email, text or the messaging app of your choice.
Now your invoice is on it’s way. You can also use Invoice2go to keep track of payments and your overall business performance.
Why mobile invoicing works better
YOUR OFFICE IN YOUR POCKET
Send invoices and estimates from your mobile phone, tablet or computer. Invoice on the spot, as soon as you finish the job.
SAVE MORE TIME
Spend more time on your business, and less on your back office admin. Mobile invoicing saves you an average of 3 hours per week and gets you paid up to 7 days faster.
STAY ORGANIZED
Lost paperwork means lost time. Keep everything organized in one simple app, and easily see what’s due, and who still owes you money.
IT'S SIMPLE
Invoice2go is easy to use and helps you look more professional. Get started in minutes, right from your phone, tablet or computer.
WHAT TO INCLUDE ON AN INVOICE
We’ve used a few sample invoice templates to illustrate what to include on an invoice. We’ll also cover best practices so you know how to make your invoice look professional, save time, and get paid faster.
- “Invoice”: This indicates the purpose of the commercial document and should be placed near the top of the page.
- Name of your business: Format in bold and place at the top of the page. Include your company logo for a branded look. Invoice2go helps you create a simple logo if you don’t have one already.
- Seller contact information: This not only lets your customer know how to contact you if they have any questions about the invoice, but could also lead to future business; if they are happy with their experience working with you, they might use the information to contact you again or refer you to a friend.
- Invoice No. (Invoice Number): To stay organized and make the tracking easier for your tax season, we strongly suggest providing unique and sequential invoice number for every invoice you send.
- Invoice date: The issue date for the invoice. Pro tip: Getting your invoice out in a timely manner can help you improve cash flow and get paid faster. Bill your customer using the mobile invoicing app, right after you finish the job.
- Terms (or Payment Terms): Invoice terms depend on common practices of your industry, your relationship with the customer, and your cash flow needs. For example, “Net 30” means that the invoice is due 30 days after the Invoice Date. Be mindful some businesses may pay later than the stated due date, so you may want to include a buffer to keep your business free from a cash flow gap.
- Due Date: The Invoice Date plus Payment Term Days give you the Due Date, which is in plain English and easier to understand. Having a Due Date on the invoice is a tactful and professional way of making it clear to your customer when they should pay.
- Bill To: Who this invoice is intended for and their contact information.
- Product or service details: Specify Description, Quantity, Rate, Amount and Subtotal. The more details you include on the invoice, the better. This way, your client will know exactly what they are paying for upon receiving the invoice. Make sure that your client can understand every item, so that as soon as they receive the invoice, they can pay you instead of asking questions and delaying the process.
- Sales Tax: Depending on your jurisdiction and type of business, the tax requirement can get complicated. Be sure to follow instructions from your local tax bureau and include the appropriate tax amount on the invoice. Pro tip: Use an invoicing software to manage your business activities, change tax settings as you want and make your tax time easier.
- Discount: If you are offering a discount to your valued customer, include the number here. They will appreciate it and remember good things about doing business with you.
- Notes: Many people overlook it, but the notes section on the invoice can be invaluable. A simple phrase like “Thank you for your business” will leave a good impression to the customer and increase the chance of an invoice getting paid faster. You can also include Payment Instructions, Warranty Information or even a personalized message in this section to make them feel really special.
And best of all,
it’s just plain simple.
The #1 reason business owners choose
Invoice2go is that it’s easy to use.
“This app has changed my life! I was having to log on to my laptop every time I wanted to invoice someone. This app is so easy to use and has made invoicing super easy.”
