Picture this: it’s your end of year. You’re poring over your spreadsheets, and things just aren’t adding up. You’re pulling your hair out, wondering where you went wrong in your small business’ accounting this year.
Finally, you realize: it’s not your accounting that’s off, it’s your payments. Specifically, you still have a handful of active invoices.
64% of small businesses have invoices that will go unpaid for at least 60 days. Late invoices lead to awkward conversations with customers and frustration over your business’ finances. You can do better.
By now, you might be asking yourself: how can I avoid this in the future? It’s easy. Payment terms and conditions.
These are essential for mapping out your business’ income and customer relationships simply and professionally. If you don’t have payment terms and conditions in place, it’s time to set yourself up for success.
Keep reading for eight tips on how.
No matter what industry you’re in, one of the most important documents you’ll send (and receive) is an invoice. And whether your business is well underway or just getting started, chances are that some people in your organization are still not entirely sure about what is an invoice?
This crucial document outlines the buyer, the seller, the product or services exchanged, and how to pay the bill. Below we identify the various elements of an effective invoice, and the importance of each.
Since an invoice is your bill for services or products sold, you need to keep one around for company record. And after creating an invoice, you send it over to receive payment and keep track of transactions from customers.
The invoice is an extremely important part of any business transaction and has many uses to keep the company going strong.
An invoice maker does a lot of the hard work for you and allows you to create templates with plenty of easily customizable fields to work with. An invoice maker not only makes things simpler, it speeds up the process, optimizing company time.
If your product or service isn’t paid in full when it’s received, you’ll need a professional invoice as a formal way of requesting payments. (And the invoices will serve as a paper trail afterward for the transaction.)
You’ve got to make sure, then, that each invoice is thorough and laid out in a way that is comprehensive and easy to understand. Ensure your invoice checks all the following boxes when building it in your invoice maker: