Having a service business does not mean you can ignore invoicing. Same as any business, service business needs to be paid and record each client and their ordered service.
A service invoice is an invoice that specially made for service business and occupation, such as doctors, consultants, construction, etc. A service invoice provides full information on every transaction made in the business to a specific client. This invoice is a kind of standard invoices, with intending to record every service transaction. In making a service invoice, you can refer to a service invoice template. With an invoice, your business’s bookkeeping will be much more organized because there are records for every transaction done by your business.
Invoice is made according to the service provided to the client. Payment can be made upfront before the service is done or can be after the service is done. Sometimes some businesses ask for down payment or DP as part of the agreement deal. Most of the time, an invoice only sent once to the client. An invoice is given to the client at a regular time cycle like previously agreed by the business and the client. An example of this is the service business as a private tutor.
What do you need to include in a service invoice?
In a service invoice template, there are a few details that need to be filled. The information is quite similar to a regular standard invoice. The only key difference is an invoice template shows the service rendered to the client rather than details of products. The contents of a usual service invoice template are as follows.
- Include the client’s and your business’s information details
The contacts, location, name, and other relevant details. This information needs to be in an invoice so you. The client could contact each other if either of you needed to.
- Add a description of the services sold to the client
This includes the service’s names, cost, and taxes. This part is important for transparency between the business and the client to maintain trust and good faith. Do not forget to add up each cost with taxes and discounts (if there are any) to a total amount that needs to be paid by the client.
- There are also payment details on an invoice. This includes the steps of payment, the preferred methods, and the due date of payment. But this part needs to be discussed first with the client to prevent miscommunication.
Having an invoice with every important detail about your service business transaction can help your business grow further and better. You can also customize your service invoice to give it a more professional look. Customizing is always a great idea as long as the service invoice template you found allows space for customization. But always remember, too many is never okay. Any details, information, or customization you put into the invoice should be enough to inform and impress the client, do not overdo it.
With all those steps completed, now you can have your fantastic service invoice sent to the client and await your payment. Keep everything in place and organized, then you have nothing to worry about.