Are you a small business owner? Photographers, graphic designers, contractors, and even bands can operate as a small business. Knowing how much to bill your client, and what items to bill for, isn’t always easy. Download our free small business invoice template to simplify your billing process.
Download a Free Small Business Invoice Template
What Should You Include on Your Small Business Invoice?
Your small business invoice includes your name if you are a sole proprietorship, or your business’s name if you are a limited liability company. All of your pertinent contact information, like address and telephone number, is also listed. List the same information for the person or business the small business invoice is for.
Your line items include:
-Products sold, and/or
As well as:
-Price per unit (for products)
-Hourly rate (for services) multiplied by the number of hours, or
-Flat fee per service
List the total for each item to the right, then total these figures as a subtotal. Below the subtotal, list any taxes owed and any discounts that may apply (if you offer them). Finally, list the grand total of the invoice at the bottom. This is the amount your client is to pay you.
To ensure timely payment of your small business invoice, it is important to include a statement of payment instructions that detail the expected payment timeline. It should be clear to your client what forms of payment you accept and when you expect the payment.
How Much Should You Charge on Your Small Business Invoice?
Use your fee schedule to determine how much your client owes. Any discounts you offer apply to the subtotal, after which you apply the taxes. That figure is the grand total. When you create your business’s fee schedule, factor in those aspects that affect your bottom line in the same way.
Should you Send a Small Business Invoice to Your Clients?
Yes. A small business owner can bill for obvious things, such as the number of hours they spend actually working on the client’s project. The service provider can also charge for travel time to and from the work location, compensation for additional workers, and for parts or equipment costs. Intangible items the photographer can work into their fee schedule are:
-Years of experience
While these are not items to add on the invoice, these are crucial aspects of the service that factor into their fees. If you have a large number of clients, developing an invoicing schedule is necessary.
When Should You Send Your Small Business Invoice to Your Clients?
If you provide short-term, small-scale services, it’s customary to send an invoice at the end of the project directing the client that payment is due upon receipt.
If your projects are larger in scope, breaking them into scheduled invoices is a common practice. Depending on the scope of a project, you can also invoice for a deposit upon the signing of the contract and break down remaining payments into monthly, bi-monthly, or quarterly payments. Using QuickBooks invoicing software helps to simplify your entire billing process.