Everything that You Need to Know About QuickBooks Invoicing
QuickBooks offers users an extensive list of premier accounting tools, including free invoice templates. Invoices are documents that are sent to clients requesting payment for goods and/or services. How efficient are your business invoice practices?
In the following informational article, we will explore everything that you need to know to create and send professional invoices with QuickBooks.
What is the Purpose of an Invoice?
Invoices are developed and sent with the purpose to collect payment for goods and/or services. Send client invoices as soon as possible to prevent any issues with cash flow management.
Invoices are also beneficial for recordkeeping and for reviewing business cash flow, customer retention rates, etc.
How Do Invoices Protect Your Business?
Professional invoices protect your business from numerous financial threats, including tax-related errors, cash flow delays, and/or bookkeeping issues.
Different Types of Invoices
QuickBooks users can take advantage of numerous free invoice templates in a variety of different formats.
The are several different types of invoices that you can create based on your ideal client payment terms. Create a contract and review with your clients to protect your business in the event of reoccurring and/or high-value projects.
An interim invoice breaks up a large project into smaller payment milestones and due dates. Interim invoices help all parties better manage their business cash flow.
Recurring invoices are sent to clients for regular goods and/or services. For example, a marketing agency may send reoccurring monthly invoices to a client.
Commercial invoices are required by customs if you are exporting goods internationally. These invoices do require a few details in addition to a standard invoice.
What to Include in an Invoice
The elements of an invoice vary greatly amongst businesses. However, there are several factors that any professional invoice should contain.
Including these key pieces of information is crucial for protecting your business and loyal customers.
Key Elements of an Invoice Include:
- An Invoice Number
- Your Company Information
- An Itemized List of Products/Services
- Payment Terms
What Do You Do If a Customer Refuses to Pay an Invoice?
Disagreements are a common issue in business accounting departments, especially regarding payments. Sometimes these issues can be prevented, for example, by thoroughly discussing financial terms beforehand. However, there are some situations when disagreements with a client invoice seem nearly unavoidable.
So, what should do if a customer refuses to pay an invoice?
First, communicate with your dissatisfied customers to address any disagreements related to invoicing. The majority of these issues are a result of a misunderstanding and can be handled effectively without any legal action.
Are Invoices Legally Binding Documents?
Unfortunately, an invoice alone is not a legally binding document. An invoice does not prove that the customer and business both agreed to the terms listed in the document.
Consider developing a contract that outlines the terms of the agreement, including the expectations of both parties involved, before investing additional time in a new client. A detailed contract may help protect your business from potential legal issues, including non-payment of an invoice.
How Can QuickBooks Help with Business Invoicing?
Ready to streamline your business invoicing tasks? QuickBooks accounting software offers an extensive list of premier financial tools for your business, including free templates. Users can also download a invoice generator to create and send invoices faster than ever before.
What Additional QuickBooks-Related Tools Can Help My Business Prosper?
Looking for additional financial tools to help your financial department prosper? If you pay out checks from multiple accounts, it is time to try PrintBoss check printing software for QuickBooks. PrintBoss is the nation's preferred automated check writing and check printing solution, simply the best check printing software to help you print checks in QuickBooks.
For QuickBooks check printing, PrintBoss check writing software can help your business securely and quickly pay vendors, service providers, employees, and more. It will help you save time and money, and increase security. Automating your check printing in QuickBooks is a no-brainer, but many QuickBooks users are not aware that this type of software even exists!
Best of all, PrintBoss is also compatible with both QuickBooks Desktop and provides online check printing for QuickBooks Online.