Your business can only take off if you get paid for your goods and services. To ensure you’re getting paid on time, you need a solid invoicing strategy that will allow you to track your payments and send out payment reminders. With the Autobooks feature (included with every Innovator Business Checking account, you can create professional, custom invoices and send them electronically or physically to your customers in seconds, allowing you to get paid faster.
What is invoicing?
An invoice is a document from a seller given to a buyer to collect payment. Invoices outline the goods or services that have been delivered and set up an obligation for the buyer to pay within a certain time period. A standard invoice must include:
- Business name & contact information
- An invoice number
- The owed amount
- An itemized list of services rendered or products delivered
- Client’s contact information
- Established payment method and deadlines
Why do you need invoices?
Invoices serve many purposes for business owners, including:
- Maintaining records: invoices keep a legal record of a sale, making it possible to determine when a good was sold, who sold it, and who bought it.
- Payment tracking: invoicing tracks what has been paid and what is owed, which can be invaluable information for accounting processes.
- Legal protection: if an invoice is created correctly, it can act as legal proof of an agreement between buyer and seller.
- Easy tax filing: recording sale invoices can help a company report its income and pay the proper taxes.
- Business analytics: looking back on invoices can help businesses identify buyer patterns and trends.
How to make invoicing easier for you and your customers
The more convenient you can make the payment process, the more likely clients will pay invoices in a timely manner. The best way to make invoicing easier is to automate your invoices by utilizing electronic tools such as Autobooks. All Innovator Business Checking accounts come with an Autobooks membership, which allows you to send personalized invoices directly to your customer’s inbox. With Autobooks, you can easily see who has paid and how much they have paid, as well as send payment reminders or past-due notices to customers who still owe.
These services help to make it more likely that your clients will pay their invoices on time. For more tips on how to get invoices paid on time or early, check out this Forbes article.
By Michaela Lenahan in Small Business