A construction invoice is a document that contains information about a business transaction that is related to a development project or a building. The invoice is used to specify construction materials used and the labor cost that has been used to finish the construction. Since this construction invoice is the last interaction that you will have with the company, you should write it in a professional and comprehensive way thus you will leave a lasting positive impression.
Elements of a Construction Invoice
When writing a construction invoice, you should consider the following basic details which should be labeled appropriately.
In this section, you are required to write your company name, state, street, and street address. You should also consider adding your email address, phone number, and web address.
These details are very important since they show who is meant to receive the invoice. You can add your customer’s name, phone number, address and email.
The one writing the invoice should include the employees’ details and the works that have been assigned or had been assigned to them.
Details of Products and Services
This is the focal point of the invoice and provides information on the amount the customer owes you. Include details and prices of the products used in construction and the services and labor that have been performed. The prices of these products, services, and labor should be listed separately on each line of the invoice.
Some areas require businesses to include the sales taxes on their invoices. Therefore, this information should be included alongside all the products, services, and labor prices and should be added to the total amount that the client is supposed to pay.
The suitable way to ensure that the contractor gets paid quickly is by including both the payment instructions, that is when the payment is due and the mode of payment accepted by the contractor.
This is mostly found at the bottom of the invoice. The contractor communicates all the important information that the client needs to know including penalties that would arise if the payment is overdue. You also explain what happens if the employees work overtime or work for shorter hours and also when the products and services that are used changes.
How Templates Can be Helpful
Invoice templates are important to a company or organization in the following ways:
Save your time: By using templates you will save time that can be used elsewhere and also allow you to focus on other business-related events.
Consistency: Having an already prepared template will save you time. Using this template over and over again ensures consistency and hence your client will find it easier to look at your invoice and make payments fast.
Customer Satisfaction: Templates present information in an orderly and professional way and hence your customers will find the important information easily since they are already accustomed to the layout and appearance you mostly use.
Free Invoice Templates
Construction Invoice Template for Excel®
Construction Invoice Template (Word)
Contractor Invoice Format (Word)
Sample Contractor Invoice
Construction Invoice Form
This is a document issued by a contractor as proof of payment on all the products, services and labor that had been offered during the construction contract. The elements of a construction receipt include product information such as quantity, item description and the total amount billed. You also include client information such as contact number email and transaction information such as location and date.
A construction invoice is very important to both the contractor and the client. For the contractor, the invoice is important in bookkeeping and also in tracking the finances. Each building material is provided by the contractor and hence there is a need to keep an account of all the product services and labor.
It is also important to the clients as they will be aware of all the things they will pay for. It also guarantees that the money they pay for is equal to the work done.