Invoice is a commercial document that is issued by seller to buyer as a proof of sales transaction. It is an important part of business to track record of cash sales and debt sales in order to maintain smooth cash flow. There are lots of examples in the business market about those organizations who neglect the important of invoicing process and face heavy losses. A well designed invoicing system is necessary for the success of your business organization because it helps you to maintain healthy cash flow. It helps you to minimize your payment on right time without any additional efforts or recovery team. It is very easy to maintain a proper invoicing system as it does not involve too much cost or any special efforts. You can design invoice using software according to your budget or can also use MS Excel in case you cannot afford invoice software. Here is a great Printable Invoice Template,
Tips to Maintain Invoicing System
Following are some effective tips to maintain a perfect invoicing system to track the cash flows of your organization:
- Draft your invoice template with complete contact details on your business invoice. Write name of your company, address, telephone number, email address and name of website on the top of your invoice.
- Proper addresses and contact details are statutory obligations to be written on the commercial invoice and any mistake in such contents can lead you to trouble. This information helps your client to contact you to ask about any queries or questions.
- Make sure to dedicate enough space to write the name and address of the person and organization being billed with a purchase and order number.
- Write all dates of invoice such as sent date and due date to maintain proper billing record. Invoicing removes all doubts and confusions regarding payment. It is an easy way to negotiate with clients about obligation of payment.
- Do not forget to include invoice number to keep proper record of all invoices. Invoice number serves as reference because with the help of invoice number you can search a specific invoice easily.
- Sometimes clients use reference number as reference of transaction while making payment. In case of overdue payment, you can easily communicate with a specific client about overdue payment.
- Do not forget to write list of products and services along with amount due because ambiguous invoices can delay your payments and arise conflicts between two parties. In order to avoid this situation it is necessary to explain everything related to sales on your invoice. It does not mean to write extensive description because one short line is sufficient.
- Categorize all products according to their types and write quantity, unit price as well as line for total. Include VAT number if your business is registered for VAT. Include payment due period on the footer of the invoice.
- It is good to write payment terms and conditions on the back of invoice so that your clients can be aware about your policies about payment.
Here is download link for this Printable Invoice Template,