Company invoice is used as a document which is sent to clients by a business with the obligation to pay for the service and goods. Until the bill is paid, the company invoice is used to record the transactions in account system as accounts receivable.
An invoice is a receipt given to a client or a customer in order to receive payment for the goods supplied or the services provided. A detailed and well documented invoice eases the payment procedure thus benefiting both sides. In order to create an effective company invoice some of the details must be included as clearly as possible. Firstly the company invoice must include the company’s name. Next the logo is the first thing that catches the eye on the paper and must be included so the invoice is recognizable in a glance. The contact information of company should be detailed and accessible. Recipients contact information should also be added. All these details form the top portion of the invoice. Next a table should be added with appropriate columns. It must include the code of the item, number of items of same type and then the cost of single item.
A good invoice might also include the date of delivery of each item however this is not a compulsory addition. Bottom right corner of the chart should show the grand total. It is also advisable to add a comment at the end thanking the person for the payment and purchase. Since company invoices deal with the sensitive issue of payments and purchases it is important that they are proof read by the dealing authority so that no glitches are encountered later on. It is also crucial to the company’s name and stature that billing is carried out as smoothly as possible.
- Company invoice is used when the buyer doesn’t have cash to purchase items so the buyer asks for a company invoice.
- The invoice is used to take the inventory sold from current amount in inventory and recorded it as account receivable.
- Company invoice is used by the company as a proof for bad debt when the client doesn’t pay the bill. Taxes are reduced on the invoice amount and the amount is removed from revenues.
- The invoice is used by the company that purchases items to update their record of account payable. The purchasing company keeps the invoice as a record of the goods purchased but has not paid for it yet.
- It is also used while paying for the invoice amount to keep it as a record of payments. To state the incurred debt, the invoice is used by the buyer and the supplier.
- Company uses it as a document to keep track of the expenses and transactions. It helps to do evaluation and make a monthly report. It’s used in court proceeding as it’s a legal document. It’s used in cases of unpaid debts and legal matters as it’s an evidence of debt.
Company Invoice Template
For: EXCEL(.xls) 2003 & later [Android+iOS] & iPad
Download File Size: 40 kb
For: OpenOffice Calc [.ods]
Download File Size: 18 kb
[Personal Use Only]