Raising Invoices - templates/software

[timmyc]

Hi,

I've just secured my first contract directly and have a contract between myself and the client (no agency involved).

SJD will do my accounting, but what options do I have for templates or software for raising invoices?

I'm guessing the client will expect to see a completed timesheet and invoice.

Also how often should I be raising invoices - weekly, monthly?

Cheers,
Tim

[NotAllThere]

SJD will advise you what's legally required on an invoice.

On mine, I have date of the invoice, VAT registration, my company address, client address, the contract reference, number of days against that contract, month to which the invoice relates, bank details and payment terms.

Oh, and the amount I'm invoicing, the VAT component and the total.

Invoice as often as you can, and get payment terms to be as short as possible.

My direct clients don't require a timesheet. They either dispute the contract (not happened) or pay it.

[TykeMerc]

Well the frequency of your invoices is entirely up to you since it's your Business.

What paperwork you produce is again up to you, personally I go with something of a timesheet or a work completion record, it takes about 10 minutes to design something suitable on Word or Excel. You should agree with the client what you will produce and get signed.

Invoices again are simple to design there's no need for anything ornate or complicated, it should contain:-

Name of your company
Name of the client company
Date of the invoice
Description of what the invoice is for, be as verbose or brief as you like, but the description should be clear
Amount
VAT (assuming you've registered for VAT)
Total payable including VAT

Your VAT number should be clearly visible on the invoice, I tend to put it at the bottom.
Company registration number again should be visible.
Invoice payment terms are worth putting on there too.

There are plenty of invoice templates kicking around on the net.

[scooterscot]

Hi,

I've just secured my first contract directly and have a contract between myself and the client (no agency involved).

SJD will do my accounting, but what options do I have for templates or software for raising invoices?

I'm guessing the client will expect to see a completed timesheet and invoice.

Also how often should I be raising invoices - weekly, monthly?

Cheers,
Tim

Your contract should have stated how you were going to charge your client. On completion of the project perhaps, on successful intervals after the completion of major milestones... Perhaps you should have your client raise a purchase order for your service for x months?

Time-sheets are only for your own companies benefit not your client's.

[Sockpuppet]

AFAIK vat invoices also need to have a sequential number on them - not contract/client related. Just 1, 2,3,4,5,6,7,etc.

[VectraMan]

SJD will have provided you with a invoice template. That's all I've ever used.

You ought to get invoicing frequency, payment terms and approval procedures clear (and preferably in writing) with the client before you start.

[pjclarke]

VAT Invoice requirements

Sockpuppet is correct, if you are registered for VAT then the invoice numbers need to form 'part of a unique and sequential series'. These are the full VAT Invoice requirements

• A unique and sequential identifying invoice number
• Your customer's name and address
• Your VAT registration number
• Date of supply to the customer
• A description sufficient to identify the supply of goods or services
• The quantity of the goods or services with a unit price - excluding VAT
• Name and address of your business
• The rate of VAT per item
• Amount owed without VAT added

It is self-limiting - anyone who cannot knock up an invoice in Excel with sequential numbering save and print macros probably won't be earning enough to register for VAT in the first place

from HMRC Frequently Asked Questions

Consecutive numbers on invoices Does the invoice number series have to be numerical, or can it include letters?

The ‘invoice number’ can be numerical, or it can be a combination of numbers and letters, as long as it forms part of a unique and sequential series.

In order to avoid the appearance of having only just started in business I do not want to start at Invoice no.1 and would prefer to commence with, say, Invoice no 1135. Is this allowed?
Yes, as long as the invoice series runs consecutively from that point.

I currently use a unique customer reference number as the identifying number on the invoice. If I add an additional consecutive number will this be acceptable?
Yes, this would have the affect of creating a unique and sequential series.

I have several customers and I wish to run several separate sequences of invoices at the same time. Is this possible?
Yes, it is acceptable to operate more than one sequence at the same time.

What if there is a break in sequence, for example where I cancel an invoice or it is spoiled and never issued to a customer?

As long as you retain the cancelled or spoiled invoice in your accounting records, or you can provide an explanation for the break in sequence, this is acceptable.