What is Invoice? Definition, Meaning and more..

1. What is an Invoice? Definition, Meaning and more SalesBabu CRM For Enterprise Business & Startups M: +91 9611 171 345 Email: sales@salesbabu.com

2. What is the definition and meaning of Invoice? An invoice is a commercial document that itemizes and records the transaction of products or services between the seller and the buyer. An invoice is known as a professional way of asking for money. If the goods or services were purchased on credit, the invoice specifies the terms of the deal and provides the information on the available payment. An invoice ID or an invoice number is generated after a successful checkout by the buyer or client. When the customer pays, the invoice number is noted on the sales receipt and matched for clarity in payment made. M: +91 9611 171 345 Email: sales@salesbabu.com

3. What is invoice used for? • Request timely payments for clients • Keep track of the sales • Keep track of inventory • Record business revenue M: +91 9611 171 345 Email: sales@salesbabu.com

4. What does an Invoice contain? • Name and address of the client • Date of invoice created • Invoice ID • Contact details • Description of items purchased • Payment methods accepted • Payment terms M: +91 9611 171 345 Email: sales@salesbabu.com

5. Types of Invoice in business • Standard invoice The standard invoice contains - business name, contact number, client’s name and their contact details, invoice number and the amount the client owes. • Credit invoice The credit invoice is a credit memo issued by the business that needs to provide a client with refund or correct a past invoicing error. • Debit invoice The debit invoice is a debit memo issued by the business that needs to increase the amount a client owes to the business. • Mixed invoice Mixed invoice is a combination of credit and debit memo issued by the business to provide a client. • Commercial invoice A commercial invoice is issued by a business for goods that it sells to customers internationally. M: +91 9611 171 345 Email: sales@salesbabu.com

6. Types of invoice in business • Expense report An expense report is submitted by employees for reimbursement of business related expenses. • Final invoice A final invoice is sent to the client once the project has been completed to request payments. • Past due invoice A past due invoice is sent by a business if their client does not provide payment by the due date mentioned in the final invoice. • Recurring invoice A recurring invoice is a periodic charges the business charges its clients for their services. • E-invoice E- invoice is the invoice sent electronically, regardless the type of invoice being sent. • Timesheet invoice A timesheet invoice is an invoice used when the business is billing based on the hours they work with a standard rate of pay. M: +91 9611 171 345 Email: sales@salesbabu.com

7. Pros of Invoice in business • Prompts your customer to pay you Sending an invoice prompts your customer or client to make the payment in a formal manner. • Helps you to maintain legal records Invoices are a form of legal records which helps you to record the invoice information for future references. • Promotes positive and professional impression As mentioned above that invoice is a formal process, it promotes a positive and professional impression about your brand to the clients and also helps you to promote your company logo, website address etc. • Track entire payment process The invoice helps you to track the entire payment process like - method of payment and payment terms etc. M: +91 9611 171 345 Email: sales@salesbabu.com

8. Cons of Invoice in business • Incomplete information may lead to delay If your invoices are incomplete or lack the necessary information they may be wrongly disputed and it may lead to delay in payment • Late invoice means late payment If you make delay in sending invoice, your client may neglect or forget the payment and it may result in further delay in payment. M: +91 9611 171 345 Email: sales@salesbabu.com

9. How to Invoice a client? • Identify your customer Identify the customer or client for whom you have to issue an invoice. • Document details Include past document details related to the particular sale which includes purchase order number, invoice ID or sales agreement etc. • Items sold and delivered Include items which are sold and delivered with details such as - name of the product or service, quantity, cost etc. Finally, the total of lines is added. • Advance payments, discount etc Include information related to advance payments or discounts applied to the invoice. • Shipping terms Include the shipping terms for the client’s reference. • Terms of sale Include the terms of sale for the client’s reference. • Payment terms Include the terms of payment i.e, as cash, debit or credit card, company check, bank transfer etc. M: +91 9611 171 345 Email: sales@salesbabu.com

10. How can automated Invoice Software help your business? • Customized invoice The customized invoice lets you to promote your company by placing your company logo, creating templates etc. These customized templates eliminates re-writing invoices again and again. • Automate workflow The invoice software allows you to automate the entire invoicing process and eliminates manual errors or re-entry of data. The invoice software also includes automated reminders and alerts of payment reminders. • Store the details in cloud The cloud helps you to store and record the entire invoice details in a single platform. Thus, it eliminates loss of data. • Improves customer relations An invoicing software helps you to create good customer relationship which includes a CRM support to track the transactions or make online payments. M: +91 9611 171 345 Email: sales@salesbabu.com

11. 5. Improve brand image Using a trusted invoice software improves the brand image of your business. 6. Multiple currency options If you are dealing with international market, you can make use of multiple currency options to provide the invoice based on their country’s currency. 7. Create quotes Send personalized and professional sales quotations using quotation templates, creating sales quotes. 8. Automate Reports Automated reports are generated based on the invoice details. These reports provides details of open/pending invoice, payments and estimates etc. 9. Include tax, discount, offer, other expenses The invoice software also helps you to include tax, discount or any other expenses in the invoice because the software traces the entire payments. M: +91 9611 171 345 Email: sales@salesbabu.com

12. How SalesBabu Sales Invoice can be beneficial for business? Online SalesBabu sales management software helps you prepare invoices and manage all these effectively. All the information right from the lead management till the final order dispatch. Therefore, not even a minor detail is left unattended. Sales management through the software helps in preparing quotations, checking credit limits, analyzing the pending payments and dispatch order to the customers. You can raise invoice directly from the quotation or the sales order. You can also retrieve results like the historical price list or previous invoice list. Thus, the software keeps all the information integrated in a common platform so that they can be readily available anytime and anywhere. M: +91 9611 171 345 Email: sales@salesbabu.com

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