10 steps to create an invoice that gets you paid faster [+ free template]

Running a successful business depends heavily on maintaining a healthy cash flow, and one of the most crucial aspects of this is ensuring timely payments from clients. 

Unfortunately, late payments are a common issue—in a recent QuickBooks survey, 89% of businesses said that late customer payments have set back their company’s long-term growth goals.

In this post, we’ll cover tips for creating clear, professional invoices, using payment reminders, and incorporating automation to reduce delays.

1. How to make an invoice template

2. Make your invoice easy to understand

3. Send your invoice to the right person

4. Clarify payment terms

5. Send out invoices as soon as possible

6. Offer multiple payment methods

7. Incentivize early payments

8. Charge late fees to discourage delays

9. Send payment reminders

10. Automate your invoicing process

How to make an invoice on different platforms

Grow your business with confidence

1. How to make an invoice template

Creating an invoice template ensures consistency, reduces errors, and speeds up your billing process. Start by choosing the right format—Word and Excel offer basic customization, but accounting software like 

QuickBooks automates calculations, tracks payments, and integrates with your financial records. A well-structured template saves time and improves cash flow management.

Every invoice should include:

• Your company name and contact details
• The client’s information
• A unique invoice number
• Issue and due dates
• A clear description of goods or services
• Total amount due 
• Payment terms 

Formatting is key—use a clean layout with bold headers, aligned columns, and readable fonts to avoid confusion. Adding your company logo enhances professionalism and brand consistency.

Save your invoice template as a reusable file (e.g., PDF for uneditable versions or a QuickBooks template for dynamic calculations). Send invoices promptly via email or an invoicing platform, and use tracking tools to monitor payment status.

2. Make your invoice easy to understand

A clear, well-structured invoice reduces payment delays and minimizes client questions. Avoid using internal codes like SKUs—describe products or services in simple terms that your customer will recognize. Each line item should include a brief but specific description, quantity, unit price, and total cost to ensure transparency.

Branding matters, even in invoicing. To reinforce professionalism and make your invoice instantly recognizable, add your company logo. Pair this with a clean, organized layout—use consistent fonts, bold headers, and aligned columns to improve readability. Avoid clutter by keeping only essential details while maintaining a logical flow from top to bottom.

A straightforward invoice speeds up approval and payment processing. If your format is too complex or confusing, customers may delay payments or request clarifications. Prioritize simplicity and clarity to create a seamless billing experience.

3. Send your invoice to the right person

Sending invoices to the wrong department can cause payment delays and confusion. To streamline processing, always confirm the correct recipient before issuing an invoice.

Follow these steps: 

1. Verify the designated contact in accounts payable or the billing department.
2. Avoid copying multiple recipients unless absolutely necessary.
3. Request confirmation of receipt from the correct contact.

Confirming recipient details upfront, especially when onboarding a new client, ensures smoother invoicing and faster payment. This attention to detail also helps maintain steady cash flow.

4. Clarify payment terms

Clear payment terms also help prevent confusion and ensure timely payments. Instead of just stating “Net 30,” spell it out, like “Payment is due within 30 days of the invoice date.” If you offer early payment discounts or charge late fees, make those terms explicit. Simple, direct language reduces misunderstandings and encourages prompt payment.

Consider adjusting terms based on your customer’s payment habits. Reliable clients may qualify for extended terms, while new or slow-paying customers might require upfront or shorter payment deadlines. Customizing payment terms based on risk and cash flow needs can improve collections while maintaining strong customer relationships.

Use the invoice notes section to reinforce expectations. A brief message like “Please pay by [due date] to avoid late fees” serves as a friendly reminder. If you accept multiple payment methods, list them clearly to simplify paying. Transparent terms keep your invoicing process efficient and stress-free.

5. Send out invoices as soon as possible

The sooner you send an invoice, the sooner you get paid. Sending invoices promptly after delivering goods or services is key to maintaining a healthy cash flow.

Practicing prompt invoicing:

• Sends a clear message of professionalism and organization.
• Reduces the risk of payment delays or confusion.
• Helps maintain consistent cash flow by avoiding gaps in payments.

Delayed invoicing can disrupt your cash flow, forcing you to cover expenses while waiting for payments. Clients may deprioritize older invoices or request additional clarification, further delaying processing. To maintain steady revenue, make invoicing a routine part of project completion or service delivery.

For recurring clients, you can automate invoice scheduling with QuickBooks Online. Setting up recurring invoices ensures consistent, on-time billing without manual effort. Automation not only saves time but also improves reliability, helping you maintain predictable cash flow and stronger client relationships.

6. Offer multiple payment methods

Providing various payment options makes it easier for clients to pay on time, helping to reduce payment delays. Offering flexible payment options makes it easier for clients to settle their invoices, increasing convenience and accommodating client preferences.

Here are some payment methods to consider:

• QuickBooks payments
• ACH transfers for bank-to-bank payments
• Credit and debit cards for easy, quick transactions
• Digital wallets like PayPal or Apple Pay for secure, fast payments
• Traditional checks for clients who prefer manual payment methods

Providing a variety of choices can also speed up payment processing and improve your overall cash flow.

7. Incentivize early payments

Early payment discounts help you access cash faster, reducing reliance on credit and improving liquidity. They also lower the risk of non-payment, as invoices are settled before they become overdue. While small discounts slightly reduce revenue, the trade-off is a more predictable cash flow and fewer collections issues.

Encouraging early payments with small discounts can improve cash flow and reduce the risk of late payments. A common approach is offering a 1-2% discount for payments made within 10 days instead of the standard 30-day term. This gives customers a financial incentive to prioritize your invoices.

Clearly state discount terms on the invoice to avoid confusion. Use a note like, “Pay by [early date] to receive a 2% discount,” and show both the full and discounted totals. Transparency ensures clients understand the benefits and take action, helping you get paid faster.

8. Charge late fees to discourage delays

Late fees create urgency and encourage customers to prioritize your invoice. Clients who know they’ll incur extra costs for missing a deadline are more likely to pay on time. A clear, consistently enforced late fee policy signals that you take payment terms seriously.

Here are two common ways to structure late fees: 

Choose a structure that aligns with your business model and industry norms.

To avoid disputes, clearly state late fees in your contracts and invoices—a note like, “A 1.5% monthly late fee applies to past-due balances,” ensures transparency. Just remember to check local regulations, as some areas limit how much you can charge. Enforcing late fees consistently reinforces timely payment habits while protecting your cash flow.

What’s the best way to track unpaid invoices?

Use an automated accounts receivable system to monitor outstanding invoices, send reminders, and flag overdue payments. Categorize invoices by due date to prioritize follow-ups. Establish a standard collections process, including escalating communications and, if necessary, involving legal action. 

Regularly reviewing your accounts receivable aging report helps maintain cash flow and prevent bad debt.

9. Send payment reminders

Payment reminders help prevent overdue invoices by keeping your invoice top of mind. Use multiple channels—email is the most common, but SMS or a quick phone call can be effective for high-value invoices. A polite but firm reminder ensures customers don’t forget or deprioritize your payment.

Timing is key. Send a friendly reminder a few days before the due date, another on the due date, and then follow up immediately if payment is late. For overdue invoices, increase urgency with reminders at regular intervals (e.g., 7, 15, and 30 days past due) while maintaining professionalism.

Invoicing software like QuickBooks can track invoice status and send reminders automatically. These tools reduce manual follow-ups, ensuring no invoice slips through the cracks. A well-structured reminder system keeps payments on track and minimizes cash flow disruptions.

10. Automate your invoicing process

Switching to cloud-based invoicing software streamlines billing by automating everything from invoice generation to payment tracking. 

Automation also ensures invoices are sent on time and follow-ups happen without manual effort. Scheduled reminders, recurring billing, and instant payment processing reduce late payments and speed up collections.

Instead of manually handling invoices, automation ensures accuracy, reduces errors, and integrates with your accounting system for real-time visibility into cash flow. Tools like Intuit Assist simplify the invoicing process, sending reminders, and recording payments automatically.

How to make an invoice on different platforms

You can create invoices in many ways—from simple spreadsheets to automated accounting software. The right tool depends on your comfort level and business needs. Below, we’ll walk through how to make an invoice using Excel, Word, and QuickBooks.

How to make an invoice in Word

Word offers a clean, simple way to create professional-looking invoices. Begin with a blank document or template, then plug in your business info, client details, invoice number, and payment terms. Add a table to list products or services and their costs.

Ready to start making an invoice? Start with the blank small business template and download the Word file.

How to make an invoice in Excel

Excel is a go-to for many small businesses because of its flexibility. To start, open a blank spreadsheet and add your business name, contact details, customer information, invoice number, and itemized charges. Use formulas to automatically calculate totals and taxes.

Start making your next invoice with the blank small business template and select the option to download the Excel file. 

How to make an invoice with Google Docs

Google Docs is a great choice if you need to collaborate or access your invoice from anywhere. Start with a blank document or template, and enter your business name, contact info, client details, and invoice number. Use a table to organize your services, rates, and totals.

How to make an invoice with QuickBooks

QuickBooks makes invoicing easy by automating most of the work. You can create and send professional invoices in minutes, add your branding, and even accept online payments. Plus, automatic reminders and tracking mean fewer follow-ups and faster payments.

Grow your business with confidence

By implementing these best practices for invoicing, you can reduce payment delays, maintain a steady cash flow, and strengthen your business operations. From creating clear, professional invoices to using automated invoicing tools like QuickBooks, each step helps ensure timely payments and minimizes manual follow-ups.

Incorporating these strategies will set your business on the path to growth and financial confidence.