A sales invoice template is a document sent to a customer as a request for payment for goods or services they have bought. The document is issued by a vendor to a customer and usually contains the list of goods, prices, sale tax, discounts, date and total amount. It is also known as purchase invoice template or commercial invoice template. The invoice will show the details about the transactions as well as may include payment terms, delivery terms, and other information. In financial accounting sales invoice is an instrument that a company uses to communicate to consumers about the total amount of money that is due in exchange for goods that have been vended.
Importance of Sales Invoice Template
Sale invoices are the documents provided by the seller to the buyer. One of the basic and important purposes of a sales invoice is to keep a record of the sale. Such invoice templates contain all the details of the sale, such as the date on which a good was sold; how much money was paid, or, if any, balance left. In case of allotting promotions manager can use the sales invoice to get to know which employees make better sales and which items they sold. Sales invoice can be used as a tool for marketing and it can easily increase the sales figure of any season or quarter.
Details of Sales Invoice Template
Generally, these invoices are a crucial tool for the budgeting aspect of financial report and accounting because they provide you with the accurate information on how much income you can expect to have coming in future. The document also helps to secure small business owners from counterfeit or insignificant civil actions. An organization that keeps close track of sales invoices can use the information to target their clients based on this information. The major purpose of sales invoice format is to keep record of sale and give a way to track the date of good was sold, how much money was paid and also show outstanding due.
Content of Sales Invoice Template
What makes a professional sales invoice is the content which is provided within it. Content is what makes your invoice look professional and perfect for any organization. That is the reason, content of every invoice is different and unique. However, different industries use different kinds of content, but within an industry, the content type can be the same up to some extend. Therefore, here underneath is the common content type which you can see in almost every invoice. It is given below for your ease;
1- At top header side, there should be name and address of your company.
2- A logo is the recognition of a company and it must be on invoice. Usually, it is spotted in top left side of the invoice.
3- In main content area, it is starts with sales tax number. It should be mentioned in bold font style.
4- A sales invoice also includes the information of buyer. It includes name and address of buyer and while in certain cases, buyer’s sales tax number is also mentioned.
5- After sales tax number, it comes date and invoice number which should also be posted on either right side or left side of invoice. But it is very crucial to be on invoice.
6- Now comes the order details which starts with product details and specification. It further includes the quantity of products and how many types of it are ordered.
7- There comes the price section which is separately mentioned on every sales invoice. Usually it depends how invoice format, how well it can present it. Normally, a client looks toward price section and gives it more importance than any other segment of invoice. In general scenario, it is given in column shapes and in numeric values. Underneath of the columns, there is sum section where total price is mentioned.
8- Price segment is further included the information of tax calculation. It put light on the exact amount of tax deducted under different heads. For instance; sales tax, value added tax, advance tax and general tax. It further sum into total tax deduction heading and then into price sum heading.
