February 1, 2018 Rosemary

Do you know how to invoice? Are the simple things stopping you getting going in business?

In many years of coaching social entrepreneurs, solopreneurs and people escaping from the big smoke of big organisations and starting their own thing, I have met many people who are too embarrassed to ask for the basic information that is needed for their business to get up and running. Sometimes something as simple as not knowing how to invoice will stop people starting to offer their services or product, and get paid.

There are plenty of resources available that give basic information, but it might be difficult to know which ones to trust, especially if you are new to Australia (which many small business people are). The government website that has been set up to assist businesses is useful and trustworthy. This is a great piece on how to create an invoice:

How to create an invoice

For speed of reference, here are the main points they mention about creating a tax invoice (if you are registered for GST), quoted directly from the link above:

For sales of less than $1 000, the seven details are:

  1. The words ‘Tax Invoice’ must be used – preferably at the top.
  2. Your identity as the seller, such as your business name or trading name. Contact details are optional, but recommended.
  3. Your ABN or ACN.
  4. The date the tax invoice was created.
  5. A brief description of the items sold, including quantity and price.
  6. The GST amount (if any) payable. You can display GST for each item in a separate column, or within the total price. If you choose not to display it separately, use a statement such as ‘Total includes GST’ as this is needed for the next detail.
  7. The extent to which each item sold includes GST. You’ll meet this requirement if you either:
    • show the GST amount for each item
    • clearly state that the total price includes GST.

Tax invoices for sales of $1 000 or more also need to show the buyers identity or ABN.

I can also recommend Amanda Fisher‘s blogposts and books as they are engaging and easy to understand. Her passion is to help people to manage their finances, particularly their cashflow, so that no one has to say no to something important that a loved one needs. She is committed to every business person maximising their cashflow, and understanding the detail once they unscramble their numbers. As I believe strongly in staying accountable to the promises you make to yourself, and understanding your business, these are three blogposts I recommend:

3 Strategies to fix a cashflow crisis

Setting accountability around the numbers

If cash is king, why don’t we get payment upfront?

If you need help to work out what is in your way, and what is feeding your “Monster Within” that is stopping you progressing with your business idea, do drop me a line. I know people who can help, or I can help.

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