Notifying a customer about his balance and requests payment is the aim behind sending a billing statement. Read the following article that provides some useful information and a template for the same.
A billing statement is a sheet of paper, which provides the details of the price and the products that a customer has purchased. This is an essential part of accounting and has two basic functions. First, to tell the customer what is the charge for the goods he has purchased and second, as an acknowledgment to the business that so much money has been received (or is due to be received) on account of the sales, which will finally be entered in the balance sheet.
What Goes in a Bill?
Well, firstly, it needs to have the name of the company, which is printing the statement. If you have come across the ones of other companies, you will observe that they also have their company logo and at times, even their motto imprinted on them. So, to make one unique, it is important to write the name of the issuer on top. Giving the brand logo is also a good idea as, if you have a well-recognized brand, your customers who might use it for future reference will have an easier brand recall.
The second part is the customer details. Why give the customer his own details? This is because a lot of companies retain a copy of the bill, which they have issued to someone and hence, retaining the same prove to be useful. Many of them also sell stuff on “buy now pay later” system; hence, these companies would surely like to know the names of the people that owe them money.
The third part is the billing number to keep a record of your transactions. It helps at the end of the year when the businesses tally the number of transactions in sales and the number of bills. Bills need to be maintained in many countries for income tax purposes; hence, it is always good to have a serial number for the same, so you can tally them at the end of the year.
The last yet most important part is the particulars of sales and the amount for each. In this part, you are supposed to write what all did the customer purchase, how much did each article cost, and how much did the total bill come to.
Address Line 1,
Address Line 2,
Bill Number: 2010/03/06/xxxxyyyyyzzzzzz,
Name of the Customer
The sales bills are a very important document and need to be maintained by the company, as well. Hence, it is important to know how to make such a statement, which is easy to understand for you, as well as for the customer.