A friend of mine is self employed (he does repairs & maintenance), and gets his customers through a company that he works for. He now needs to invoice the company for all the material that he bought for the jobs and his labour costs, which he did over the last few weeks.
Can someone please be kind enough to advice what details need to go on the invoice? He said he bought 'loads' of materials so would he need to keep & show receipts for every single purchase? He has not formed a company, so will his home address need to go on the invoice? He isn't registered for vat since his income would be less than 70k. Would the format of the invoice be different if he was registered for vat? Finally, he wants to get paid 'quickly'. What terminology should he use on this invoice to request this?
By the way, he did ask me all the above questions the other day, buit I do not have enough knowledge, so thought I would ask you guys.
replace the 30 days with the number of days that the invoiced amount is valid for.
Each item charged for will be listed at the VAT inclusive price on the invoice (VAT exclusive prices are shown when the VAT can be reclaimed). Where there are multiples of the same item include a number of units rather than listing separately.
No mention of VAT should appear on the invoice at all.
The invoice should have a unique reference number, date, clients details / reference, own details and reference.
It should be clear to the client what the total invoice amount is.
Use Excel or something similar to add all of the figures as whilst you have included E & OE it is very unprofessional to send replacement invoices due to arithmetic issues.
To be paid quickly he may wish to offer a discount by replacing "NET 30 days" with a line such as :
"3% discount for settlement within 10 days of invoice date, otherwise 30 days net"
HTH,
Shaun.
p.s. for info "E & OE" means "Errors and Omissions Excepted"
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Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
