Sending an invoice is something that many look forward to doing once a project is completed.
It’s one of the most important things that any freelancer, contractor or business must do to ensure that they are financially compensated for any work done. Whether you use software or an app that generates one, or send over a filled-in invoice template, it’s a necessary process involved in every business transaction.
There are many ways you can go about sending an invoice. The crucial thing, though, is to make sure you do it properly so that there are no misunderstandings or hiccups that will get in the way of you getting paid. Here are some best practices to keep in mind when sending an invoice.
Send it right away
There may be instances when you’ll forget to send the invoice and this happens more often than you think. When you’re swamped with projects left and right, it’s easy for the task to slip your mind. So, the trick is to work on it as soon as the job is completed, after any revisions or edits have been approved. It’s better than waiting for the end of your billing cycle to do it.
When you create the invoice and send it as soon as possible, it makes it easy for your client to remember it too. Just make sure that there is clear communication on when they’ll be expecting an invoice to arrive in their emails.
Additionally, if you send an invoice right away, you are 1.5 times more likely to get paid than if you don’t. Don’t wait until the last minute!
Be detailed on paper
When it comes to invoices, it’s imperative that all pieces of information written are accurate and correct. You wouldn’t want to cause a misunderstanding between you and your client, or waste time going back and forth correcting the details.
Double-check if your client’s name, address, contact information and email are right. See if your own information is correct too. Be careful of misspellings!
When you itemize the different tasks or processes involved in the project, be as specific as possible. Be clear on the task description and include screenshots or samples if needed. Don’t use flowery, vague statements as being straightforward is the way to go!
Ensure that the price or rate is the one that you both agreed upon signing the contract. Don’t surprise the client by adding in new fees that they’re not aware of. If you’re billing by the hour, put in the correct number of hours you worked on each task. Remember to include the invoice number and due date, payment terms and methods, and the tax numbers needed by the law.
Make it simple
Keep in mind that an invoice is still a legitimate and legal document used in business dealings, so keep it professional. Using a simple design or format is the way to go. You can create one on any word processing program or utilize invoice templates that are available online.
You can check out a free invoice template here and customize it however you want it. It saves you a whole lot of time since you’ll only be inputting the necessary information. Once you generate the invoice, you can send it to your client straight away!
Additionally, don’t discount your branding when making an invoice too. Your invoice can look professional and still reflect who you or your company are as a brand. Invoices can be used as marketing tools, so use that to your advantage to get more projects.
Be courteous
Address your client properly when you’re about to send the invoice. You can add in a few notes that concern the project, but there’s no need to over-explain every detail.
Be polite and don’t forget to thank the client for purchasing your services or products. If you enjoyed working and collaborating with them, let them know in your email too! Clients, more often than not, will appreciate these kind words. It might even help you get more business with them because of the nice attitude you’ve displayed.
And of course, make sure you’re sending the invoice to the right person! Check your contract or any agreements you made with the client and see who should be receiving and processing payments on their end.
Follow up when needed
If too long has passed since you sent the invoice and you haven’t heard back from the client, it’s okay to ask for an update. Your client may have forgotten or was too busy to get to it, so it’s okay to follow up.
Use kind and straightforward language, and don’t forget your manners! There’s no need to be angry or demanding as most of the time, forgetting to process invoices is an honest mistake and not intentional.
Create back-up copies
It pays to be prepared just in case your email gets hacked or the files on your laptop or PC get corrupted. Besides saving copies on your own device, upload them to secure online storage software. Nowadays, there are many to choose from and you should start investing in these services as well. It will also make it easier to reference and get back to it in the future, should there be a need for you.
Make sure to keep it organized too, whether you do it per client or per year! Utilize folders and name the files accordingly, so you won’t have a hard time looking for a particular invoice.
Sending an invoice may seem like a tedious task to many, but it’s one that is an absolute must if you want income to keep coming in your business. When you follow these best practices, you can save a lot of time and even help bring in more projects that you can do for the same client and for more!
Keep in mind that your invoice is a professional document and when it’s done poorly, will reflect badly on your as a freelancer or on your business as a whole.
