Why Properly Formatting an Invoice is Important

As an independent contract, you’ll need to file an invoice for the work completed at the end of the month. Creating an invoice may seem like a time-consuming and dull task yet getting it right could be the difference between receiving payment on-time and well not.

With over 60% of invoices paid AFTER the due date, you want to ensure the delay isn’t due to a typo on the invoice or lack of information about the requested payment. The guide below will walk you through the things you must include on an invoice to help prevent this from happening.

Every invoice should include important data such as a unique invoice number, your company name and address, client name and address, details about the service provided, and total amount due. Using the below invoice cheat sheet, you’ll see the required information and where on the invoice it should go:

invoice cheat sheet

Payment Methods

Once you’ve got the data and format right, you’ll also want to make it easy and straightforward for clients to submit their payments. The most common payment method is via BACS or bank transfer. To request this payment method, make sure to include your bank details (bank name, sort code, and account number) on the invoice.

Sage has put together a handy guide which explains other types of payment, invoice formats, and common invoice terms. View it here.

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