The Anatomy of an Invoice

Social Circle
Nov 7, 2018 · 6 min read

Written by Liam Dryden

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This article originally appeared in our Advice section on socialcircle.media; where our mission is to support, educate, and professionalise the Creator community.

So it’s finally time to get paid for some work as a Creator!

Whether this is your first time writing an invoice or you’re already a seasoned pro, there’s always something you can tweak — and who knows, maybe by doing something different, you might find yourself getting paid by Brands much more efficiently!

So without further ado, here’s our breakdown of everything a good invoice should have…


The Top Bit

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Pictured: Billing address, Invoice number and personal branding

Company Address

PO number

Some brands also require the use of a purchase order number to identify your transaction. If needed, this is something a Brand should supply you with ahead of invoicing and you can affix it to the end of the address.

Invoice Number

There are a few acceptable ways to number your invoices, but the components that people tend to use to create their invoice numbers are:

  1. DATE: The date upon which the invoice is sent. Most people prefer to format this as YYYYMMDD.
  2. CUSTOMER ID: A number assigned to a client, that can be referred to in the instant of repeating clients.
  3. UNIQUE INVOICE ID: Literally just a sequential number that identifies the order your invoices have been written/sent.

Formatting an invoice number can look like 1–2–3, or even just 1–3 if you don’t have a lot of repeat clients. What matters is that you remember to change it every time you create a new invoice!

Optional: Branding!


The Middle Bit

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Pictured: Contact and payment details

Contact Details

Payment Details

  • Account holder’s name, if it is different from your public/brand name.
  • Sort code
  • Account number
  • IBAN and BIC — If you are working with a Brand that may be based overseas, these two numbers are codes that help your account be recognised internationally. They won’t always be needed, but it’s worth including them at all times just in case. You can get the details of these numbers from your online banking, your bank statements, or in branch.
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Pictured: Invoice date, description and Payment terms

Invoice Date

Description

Payment Terms

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Pictured: Calculation table

Calculation Table

ADDITIONALLY, if you are earning above a certain amount annually as a creator, you will have to start charging VAT on top of your fee. In the UK this is currently 20%. Be sure to include this in your invoice before calculating the Total.


The Bottom Bit

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Pictured: Legal disclaimer

Legal Disclaimer

I understand and will exercise my statutory right to interest and compensation for debt recovery costs, under the late payment legislation, if not paid according to agreed credit terms.

Sign-off


Now make your own!

Additional info

Are you a Creator looking to know your worth? Sign up at socialcircle.mediafor more advice, insight, and opportunity!

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