Invoice

What is an invoice?

An invoice is a formal payment request issued after goods have been delivered or services have been completed. It serves as a legal record of the transaction between a business and its customer, detailing what was provided, when, and how much is owed.

For contractors and small business owners, invoices are essential for getting paid on time and maintaining accurate financial records.

What should an invoice include?

A complete invoice typically includes:

• Invoice number — A unique identifier for tracking and reference
• Issue date — When the invoice was created
• Due date — When payment is expected
• Your business details — Name, address, and contact information
• Client details — Name and billing address
• Line items — Description, quantity, and price of each product or service
• Total amount due — Including any taxes or discounts
• Payment terms — Accepted payment methods and any late fee policies

Invoice vs. estimate vs. quote

An estimate is an approximate cost provided before work begins—it's not binding. A quote is a fixed price offer valid for a set period. An invoice is sent after the work is done and represents the actual amount owed.