A products-only invoice is a billing document requesting payment from a business or customer for the sale of one (1) or several products. The line items included in the form detail a description of the products, the quantity, the price-per-item, and any additional add-on fees such as shipping.
What is a Product Invoice?
A product invoice is an official billing form used to collect payment for the selling (and potentially shipping) of partial or finished products to customers. Product invoices are frequently used among B2B (Business-to-Business) companies for tracking large orders of a product. Examples can include grocery stores purchasing produce, computer manufacturers ordering parts for an assembly line, or sporting goods requesting new ski jackets. In addition to being used for B2B dealings, many small businesses issue invoices for B2C (Business-t0-Consumer) sales, such as an individual ordering an appliance (without installation) or purchasing an expensive item that allows the customer to pay at a later date or in partial payments.
What is Included in a Product Invoice?
To ensure the invoice contains the necessary information needed to allow a client to make a timely and correct payment, as well as to secure a means of contact for both parties, the product-only invoice should contain the following information:
- Names of the parties
- Addresses, phone numbers, and emails of the buyer and seller
- List of products sold (# of units + price of each)
- Shipping information (cost, tracking #, delivery company, etc.)
- Invoice terms (Net 14, Net 30, “1 week to pay”, etc.)
- Payment instructions for the buyer (e.g., “Pay by check to…”)
- Any notes regarding the order that the customer should know about