Sales is an important aspect of any business organization. The transaction of sales is quite simple. However, the formalities and paperwork that are involved while selling particular goods or services can be quite complicated. Here, we have provided a sales invoice template that will help you draft one for yourself.
Since the utilization of barter exchange as a channel and medium of transaction, the science and art of economic exchange has come a long way. The term ‘sale’ means giving away for a consideration. It basically means that giving goods in exchange of a particular consideration. In today’s world, the barter exchange is not present and consideration cannot be another good or commodity. Consideration today can be money in the form of bank notes, credit card transaction, bank check, trade credit, or a bill of exchange.
Why Does One Need a Sales Invoice?
In the modern world, in order to avoid small and petty quarrels and transactional errors, the legal systems have empowered their citizens with some enactments that govern the transaction of sales and purchases. Some of the common enactments that have been enforced by almost all the nations throughout the world have been enlisted below.
- Contract Acts: A contract is often defined as an agreement that is legally enforceable. A sales invoice is proof that the buyer and seller have a mutual agreement within themselves, where the buyer is supposed to pay the seller (in a mode that is defined in the invoice or any other mutually agreed mode) and the seller is supposed to supply the goods that have been specified in the invoice to the buyer.
- Sale of Goods Acts: The sale of goods act basically governs the procedure of sale. Most of the sale of goods acts prescribe a sales invoice format. This format basically contains all possible facts that are related to that particular sale, for example, date of payment, date of delivery, advances paid, transaction identification, and mode of translation ID.
- Transfer of Property Acts: If you have a look at any sales invoice example, you will notice that the title of ownership of goods makes the entire goods that have been paid for transferred to the buyer of the goods. If the invoice is issued according to the transfer of property act, then the sales invoice authenticates the title of ownership.
If you have a look at any sales invoice sample, then you will notice that the document is an authenticated and foolproof receipt of the goods sold and is also instrumental in drawing conclusive evidence about the sale of goods and transfer of ownership. There are also some other reasons that a person requires a sales invoice, as it is an excellent record keeping tool that will help you to calculate tax, total sales, custom duties, etc. In cases such as damaged goods, repair of goods according to warranty, the sales invoice file comes in really handy.
Sales Invoice Template
Company Contact Number
Mode of Payment and Number:
Bill To: Customer Name and Address
Shipping Address: Shipping Address
Seal And Signature of Sales Person
Seal And Signature of Supervisor
Seal And Signature of Customer
You can use this template as it is, or you may modify it according to your own requirements and convenience. The use of an invoice is always recommended, as it is the best available proof of sale of goods.