Use our easy to use free invoice template to get started.
Invoice word is very commonly used by everyone now a days. It’s an evidence which you get it, in return of goods or services from the seller. Obviously, you have to pay some certain amount of amount to get it.
There are different types of invoices which differs from origin to origin, but the purpose of the invoice is the same that you owed or owing a certain amount of money to seller. The invoice is piece of paper which contains certain information like GST, VAT, quantity, type, description of the product and its contents (if necessary), date, amount, advance, balance, discount and total etc.
In the previous era or Stone Age, cloth piece or leaves were used as invoice. As the time passes, the technology and paper overcomes the parts of our lives to ease and convenience us. So the method to trade with each other.
Invoices are very important thing because it is only piece of evidence that you have when you buy something from seller. Legally as well as an evidence of purchasing something from the seller. Like now a days, it is a compulsory documents to claims your rights or guarantee or warranty of your product.
Now a days, lots of online companies or webpage owners are providing free and low cost invoice related services to its users. These companies or web pages includes Ronin, Zoho Invoicing, Invoiceable, Paymo, Time track, Harvest, Fusioninvoice, Nutcache and other companies. These web pages are considered as the best tools currently available on internet which provides the online invoice services general public. Creation of invoice itself is a simple task but management of invoices is very difficult task. These web page’s charge a certain amount of money from its users and provide monitoring, handling, maintenance and scheduling of invoices for its users.
Most of time people use the word “Bill”. But there’s a difference between invoice and bill. Different people has different school of thoughts, like some of them says, Bill is generated against which you have already used the services or you have used the goods. And invoice is generated before rendering the services and goods. Secondly, bill does not contain the complete list and description of goods, but in invoice you have all the information regarding clients as well as the goods or services rendered.
Types of Invoices:
Before creation of the invoice, you should know there are different types of invoices currently prevailing and used in the industry.
Some of the invoices are mentioned below;
Time Sheet Invoice
Value based Invoice
Fixed Bid Invoice
Let’s start from the commercial invoice, it’s a specific set of invoice used at the industrial and bigger scale. It is set of special documentation which are not commonly used by the smaller stores. Basically these documents or invoices are used between the trading of different goods or services at foreign level.
Standard invoices are not always called with this name. This term is only used here to differentiate the type of invoices from the others. These are simple invoices which are commonly used in our daily life in case of any services or goods rendered.
Progress invoices are those, which are specifically used in the construction industry. Because in the construction industry all payments are made according to progress of the projects. It’s very obvious that these are large payments invoices and contains the important information like completed work of the projects and also contains heavy amounts.
Utilities used by us, which are commonly known as bill are form of invoices. It contains complete information of the client and detail of the services or goods used by us during a certain period of time.
Recurring invoices are those, which are usually used by the consumers and amount is fixed in this case. The consumer have to pay certain amount of money at the end of the month like rent a car of house rent.
Well, pending invoices are commonly used in the credit base businesses. In these businesses, seller and buyer agreed on some certain amount and buyer has to pay in installments. These types of invoices contains remaining balance in the invoice along with the amount paid.
Time Sheet Invoices:
Time sheets invoices are mostly used in the industry, where certain amount is paid according to the evaluation of the services performed by a particular person. Like lawyers, teachers and physiotherapist.
Proforma invoices are used where you are not certain about the exact amount of the product. Basically, it is only used for the rough estimation of the products. In simple words, Seller provide a declaration stating that he will deliver the goods or services on an estimated amount on or before the specific agreed time. You can also call it advance payment.
Value base Invoices:
Value based billings invoices are those which are specifically used where performance is involved. Payable amount mentioned in these invoices are completely based on the work in progress and completed tasks. These invoices are not used by the creative industry specially, because you cannot decide the actual position and quality of the work before its completion. As it is very hard to calculate the efforts and time before completion of any creative work.
Fixed Bid Invoices:
Then comes the fixed billing invoices. These invoices are used where requirements are clearly mentioned and can estimate the actual value of the products. Somehow these are like standard invoices, because these are commonly used in the smaller or freelance businesses.
I hope you are familiar with the walk through of types of invoices. You can use one or more invoices for your business according to the need of your business. Now come to the other and important part of this article, in this you will learn to create an invoice for your business. Well, invoice can be prepared in electronically or manual both ways.
Most of the sellers prefer electronic invoices instead of the manual ones because of the tampering and changing of the facts, description on the invoices. Invoices can be both seller invoice and buyer invoice. In the perspective of a seller, it is a seller invoice and if you are buying something, then it will buyers invoice.
Excel base Invoice:
Microsoft excel also provides very easy and useful templates to create invoice for any business. Whether your business is small or large, you can easily use these predefined templates of invoice for your daily use. If you think, it’s very difficult to use or you need training, then don’t worry above that. It’s very simple and easy to use, just for following below easy steps you can prepare invoice on daily basis and most importantly, it’s free and cost you nothing.
Steps to create invoice in Excel
First click on “File Menu” in excel workbook and then look for the “Invoice icon” on the left side of the dialog box.
Here, you will see different formats of invoices, which contains simple invoice templates to complex information invoices according to your business need.
Next, you have to input custom information like name of the company, contact numbers, address, company’s logo, buyer / seller name, amount, date etc.
Final step is to mark / assign your invoice a unique number, which will be helpful in future reconciliation and tracking of the invoice. One of the sample template is attached below for your ready reference;
Word base Invoice:
Just like excel, word has its own template formats available for your use. You can also download more and different formats from the web according to your business need. Most people consider word document much easier than the other software’s. You just to fill information and can create invoice in real time. You don’t have to take special classes for it. Just follow the tutorial or help, fill it and print it, just as simple as click.
After preparing invoice, you can easily send invoice through mail to your customer. Invoice template also gives you option to lock edit option, through which your invoice will be lock for editing and no one can change it without the pin code. Pretty interesting, right!
Steps to create an invoice in word:
Just by following these steps, you can easily create your invoice through word templates.
Similarly like excel, you have to open “File Menu” and click look for the word “Invoice Templates”.
Now look for the best template which is according to your business needs.
Input information with professional statement, company mission, logo, contact numbers, address, amount, etc
Now come to client information side, in this portion you have to input client / buyer’s related information. This information contains like email, contact information, address etc.
After inputting customer information, you have input customer payment methods, or channel as well as. It means, client like to pay advance, remaining balance or he wants to make payment through Paypal, cash or cheque etc.
Just like excel, don’t forget to assign unique ID or reference number to your invoice. In future, it will be helpful for tracking or handling the orders by invoice numbers.
In the last, you have to input information like, quantity, description of the products, charges, discount (if any), sales tax, VAT, delivery charges etc, which are compulsory for the client.
“Google Docs” base Invoice:
Google Docs also provides its customer to use and create invoices from the predefined templates and they are very easy to use. Even you can create invoice from your mobile as well and send directly to your client.
Steps to create Invoices in “Google docs”;
First you have to connect with your “Google account” and then go to “Google Drive”.
Look for the button “+” or “New “and scroll down Google docs drop down menu. After that click on the button arrow for “Next” and here you can select different invoice formats given by the Google Docs for its users.
Here you have to search invoice templates key word in the search bar. Select invoices from the given formats according to your business needs.
After selecting format, you have to fill the format like previously done in the different formats.
Creation of Invoice through free software’s:
There are lots of free software’s available on internet, if you want to create invoice free. These software’s are free and specifically designed for the templates. You can also look for the accounting software’s like Square and Quickbooks etc.
You can easily create an invoice through square and it’s completely free.
Steps to create free invoices through Square;
On the square webpage select, invoice template which you want it for your business. You can select the format and color you want for your invoice.
After that, a box will be popped up, here you have to enter your email address and related information. If the dialogue didn’t open, then check your pop up block setting in the square web page and click on the button “Allow pop ups for this website”.
Similarly, like the other software’s, you have fill the form. Input all the necessary information, contact numbers, email address, company name and etc.
When you are finished with information inputting step, then download the template and send it to your client.
Square website is not just for templates, it’s a complete dashboard. Square webpage helps you in creating, tracking and manage your dashboard for all your invoices.
It means, you can easily track your invoices, which are currently due and pending at your client end.
Square invoices are very professional and ready to use invoices, through its dashboard, you can easily monitor your invoices. All invoices will be in one place. The best part is, square online invoices are completely customer based, means you can add and delete information and can customize your invoice according to your need. Whether you have to add discount or add bonus to special customers. Even you can also schedule your invoices and recurring invoices for your reference. In simple words, it will automatically identifies and inform you on the due dates, which invoices are pending which needs your attention.
Now come to pricing side of square invoices, it’s pretty clear that you have to pay 2.9 percent in addition to 30 cents only per invoice. And you can send them easily directly through email to customers.
Creation of Square invoice on desktop;
Creation of invoices through square is very easy to use. Just by following below steps you can easily create them;
In the first step, you have to sign up for the free account offered by the squarer webpage.
Then click on the “Invoice” button available on the dashboard.
Create your invoice by clicking on the button “Create Invoice”.
In this step, you have to select your specific customer your predefined customer list or you can also input new customer email address and related information by yourself.
After selecting customer, you have add amount and related information like discount or bonus in your template.
Then just send the invoice to your customer.
After receiving the invoice, the client can pay you online and you will get your payment in two or three business days directly to your bank account.
Creation of invoices through mobile;
The most interesting feature in the square is that, you can easily create your invoice through square invoices on your cell phone as well.
Steps to create invoices by using Mobile;
Just for following below steps you can create invoices;
First, logon to square webpage and download mobile base application on your mobile.
Go to navigation menu and select the “Invoice”.
Click on the tab named “Create Invoice”.
Input details of your customers like name, address, email address and contact number etc.
After this, select the send date of your invoice to customers in current date or you can select the future date as well.
You can select the items, you want to send the customers from the predefined list of items in the directory or you can also input the amount manually.
Click on the “Send” button.
Square webpage also offers the secure online payments mechanism. Your client can pay easily and securely and you will get the amount in your bank account in two or three business days.
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