2016-08-17 00:00:00 Money & Finance English Mistakes in your invoices can cost your business time and money. Read about these 5 common invoicing mistakes that should be avoided. https://d3hrajprm8dqcv.cloudfront.net/wp-content/uploads/2017/05/08195003/8.png invoicing 5 Common Invoicing Mistakes | QuickBooks

5 Common Invoicing Mistakes

1 min read

After building a strong relationship with your clients and ensuring that the work is done, you need to complete the process by sending them an invoice. Sending an invoice can be relatively easy but an invoice with mistakes could cost you. Invoicing mistakes creates delays in payments and can damage your relationship with your client. Here are five common invoicing mistakes that people make when sending an invoice:

  • Not invoicing in time: The minute the invoice is ready for dispatch, it should be sent out to the client immediately. Your client will take even longer to make a payment when you send the invoice late to them. Invoicing mistakes can be easily avoided with the use of cloud accounting software that provides easy call-outs and processing of invoices.
  • Not including due dates: At times, companies may forget to mention the payment due dates in the invoices. Clients tend to delay payments when they learn that there is no due date on the invoice. Easy to read and clear due dates will improve on-time payments. Cloud invoicing software can also help by providing automated reminders and follow-ups.
  • Not mentioning Several Payment Options: Providing several payment options makes it easier for your client to quickly pay you in a manner that’s convenient to the. Additionally, including these payment channels reduces questions by your customer asking if they can pay you in a certain manner.
  • Incorrect Information: Incorrect invoice information can lead to prolonged payment timelines and negatively impact your relationship with a customer. To minimize inaccuracies such as an incorrect address, amount, or client. Try including a brief description for each charge, raise a red flag when adding additional fees, notify the client if a partial invoice is paid, and standardize your invoice so your business and payment options are always correct.
  • Not maintaining a Record of Invoices: Reviewing, maintaining, and tracking invoices is a practice that will help you manage your work and payments. It’s important to communicate any invoice changes such as additional hours or material to a client early. This practice will avoid disputes or additional questions when the final invoice is produced. Avoiding these common invoicing mistakes will allow your business to streamline its billing process, improve client relationships, and improve how and when you will be paid for services.
Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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