Company invoicing
Invoicing your business should not be taken lightly. The creation of an invoicing document is an important step in protecting your business against any inconvenience, but it also enables you to enforce your right to payment with your customers. Find out more about what invoicing is?
Who does invoicing affect?
All businesses involved in the production, distribution and realization of services are required to draw up an invoicing document. It's essential to clarify the relationship between your company and your customers, be they private individuals or professionals.
You are obliged to create an invoice, which you will issue immediately after the sale of a good or the provision of a service. This document will trigger a request for payment from your customers. It's also proof that you've actually carried out the order, and that you're entitled to claim payment for your action.
Self-employed entrepreneurs and micro-businesses are also subject to invoicing. However, they do not need to charge VAT, as they are exempt.
Invoicing between professionals is an unavoidable obligation. You have no choice but to draw up a formal invoice if you are selling goods or providing services to another company.
For invoicing private individuals, the law is a little more flexible. You're only obliged to issue an invoice for distance sales and VAT-exempt intra-Community sales. And if the customer asks for an invoice, you can't refuse. In the case of a store, the invoice will often be replaced by a receipt. If your customer needs a more detailed document, he can request a pro-forma invoice.
Download our invoice template in Excel format :
Who draws up the invoices?
If you're the head of a large company, you'll probably need to set up an accounting department or call in an external accountant. However, if you have a basic understanding of bookkeeping, you can always invoice your company yourself.
If you're a self-employed entrepreneur, you don't need to ask an accountant to do your invoicing, as the procedures and documents involved are simplified.
Just make sure that your invoices include all the legal information required for validation by the authorities. We've put together an article on the obligations of a company, which will tell you what you need to include on your invoice. Don't forget to keep a copy of every invoice you issue to your customer.
How do you send your invoice?
This is a detail you'll need to work out with your customer. You can send your invoice by traditional post, by fax, or in digital form by e-mail. If you send your invoice digitally, make sure you provide a document that cannot be altered by the recipient. This will save you a lot of trouble if the recipient is dishonest.
Business invoicing is not as trivial as it may seem. To make sure you're protected in the event of a disagreement, you need to draw up an invoice that complies with the standards laid down by the French Commercial Code. Remember to check that all legal information appears on your document.
Article translated from French