For any business to stand out from the crowd, there are numerous things that must be incorporated in the day to day running of the business. One of the most crucial aspects that business owners must incorporate is invoicing. Ensuring that the invoicing process is accurate and error-free is vital for business growth that’s why it is recommended to use an invoice maker as it allows one to create a professional invoice with all the essential features for your small business. Because invoicing is not a one day process, many a time invoicing blunders do happen and as a business owner, you need to constantly review the process to ensure there are no errors.
Remember sending an invoice with errors can make you look unprofessional and may make you lose clients. Maybe you are committing one of these invoicing blunders. The good thing is that once you realize this, it’s easier to fix them. An invoice is a document that is very crucial to ensure that you are paid for goods and services rendered. This is something that all business owners know. However, as you are in the invoicing process, you may find yourself making some common blunders that may delay your clients in paying you.
Below I have highlighted the ten biggest invoicing blunders that small business owners should avoid.
- A delay in sending the invoices
Sure! You are very busy providing services to your customers but remember don’t forget to generate invoices. Not sending invoices or even not sending at all to your clients on time is one of the biggest invoicing mistakes. It is good to remember to serve your customers and also generate invoices on time to ensure payment is done on time.
- Not sending the invoices to the right person.
What do you expect when you send the invoice to the wrong person? How will someone pay you when they have no agreements with you and you have sent them an invoice? Sending out an invoice to the wrong clients is another common invoicing blunder. This also delays payment since you will be obliged to resend the invoice to the right client at a later date, thus wasting your precious time. Therefore it is good to cross check the email address of the customer before you hit the send button to make sure you are sending the invoices to the right customer to avoid wasting time and delaying payment for services you rendered.
- Not ensuring item description in your invoices
It will be difficult for a client to pay if they are not comfortable with what is on the invoice. It is good to ensure every item is well described in detail. Proper item description is crucial for any invoicing process and it should not be overlooked. Failing to describe every item properly can make the client get confused about the invoice. An invoice that is not properly described can be ignored by the client thus delaying the payment process.
- Imprecise pricing
Okay, you have created the invoice but the pricing of goods and services is not clear on your invoices. This will confuse your clients. The pricing of goods and services together with the necessary taxes and discounts should be visibly stated on the invoice.
- Including unexplained charges
This is a mistake that can ruin your reputation with your client. Imagine your customer opens an invoice and finds undiscussed fees listed, this will make the client get confused and will totally build distrust with your client. Therefore, ensure all charges are fully explained to your client before they accept your service and if there are any additional fees; make the client know about that in advance.
- Unprofessional invoicing
As stated earlier in the article, this will also delay payments. Your client is likely to ignore your invoice if poorly created. Additionally, an invoice that contains errors and lazy formatting may make you look unprofessional in the eyes of your client. It is good to make use of an invoice maker to ensure that your invoice is professional. Another thing to do is to ensure you double check your invoices to ensure any error is fixed before the invoices are sent to the clients.
- Not including your company logo
Your business brand needs to be made available to the marketplaces. One of the things you can do to achieve this is to include your company on your invoices as you send to your clients. This is a good opportunity to remarket yourself to your client; therefore you need to make use of this opportunity. Ensure your invoices contain your contact information and a clear logo so that your clients keep your company in mind for the next time they need similar work done.