Discover the key features of the Wise Business account.
Invoicing clients is vital for any business but the process can often take too much time. If you do business outside the UK, the complexity of invoicing your customers can get to another level and it's important that you include all of the necessary information so the payment runs smoothly.
This is where Xero can help. They make creating professional invoices simple and allow you to keep track of payments, whilst they perform the accounting for you in the background.
Using accounting software to create invoices is a great way to save time and simplify the process. By choosing Xero invoice templates, you can create custom documents which suit your business, and contain all the information you need.
Xero can help to streamline your invoicing process, and with its integration with Wise Business, you can also effortlessly combine a multi-currency business account with your online accounting software.
This Xero invoicing guide covers all you need to know about how to create an invoice in Xero, and what information to include - so you can save time on admin, and get your money quicker.
|📝 Table of contents:|
An invoice is a written document that provides the clients a detailed description and costs of the goods or services that have been acquired. It’s needed when you request a payment from a client for goods or services that you have provided to them.
|💡 You will need to create invoices in order to keep track of payments and for accounting purposes for your business.|
If you already have a subscription, you’ll be able to save time using Xero invoice templates, to ealy and quickly send them to clients for payment. They have created several videos and guides¹ to help you through the process of creating invoices as simply as possible, but here is a quick overview to get you started:
- Login to your Xero account;
- Click in the quick launch icon "+", than select "Invoice";
- Enter the information of your customer in the "to" field;
- In the "item" field enter the goods / services delivered according to the requirements of the country you’re sending to, plus the quantity and price;
- Once you have entered all of the information needed, you can choose to save as a draft, or save and submit for approval;
- Once saved for approval you can double-check all of the details are correct, and then select "Approve";
- Once approved, the invoice will appear on your dashboard as Awaiting Payment - you can then send automatically as an email through Xero, or save as a PDF for your tax records.²
When doing business outside the UK Wise Business can be a good option to help you get paid like a local in 10 different currencies, including EUR, USD, CAD and AUD.
Most banks won’t convert your money from the foregin currency to GBP with the mid-market exchange rate when you receive the international payment. Instead they add a mark-up and charge you a hidden fee that way.
Wise Business is different. Its smart technology skips hefty international transfer fees by connecting local bank accounts all around the world. Which means you can save money when using your local account details to collect your payments.
Xero offers simple invoice templates which you can make your own, adding your company details, branding and logo. This can ensure you get paid quickly - and also presents a professional image to your clients.
But, if you do business with multiple countries, Xero invoice templates can also be handy to set a standardised model for your documents, setting the information you need for each country or currency you are doing business in.
|💡 For example:|
|Let's say you sell recurrently to the USA and to France, for each country you will need to add different information to the payment terms, if you are setting the payment in the customer's currency.|
Using Wise Business you can inform your customers your EUR and USD account details, to be paid quickly and easily direct into your Wise Business multi-currency account, where you can convert your Euros or American Dollars to GBP whenever necessary, with the fair and real mid-market exchange rate.
Setting up an invoice template with Xero can help you manage these different cases and scenarios, while saving time when you need to send a new invoice. Here's the step-by-step on how to create an Xero invoice template:
- Click your company's name and select "Settings";
- Select "Invoice settings";
- Click in "New branding theme";
- Type a name to identify your template;
- Customise your invoice visuals, fields and information;
Now that you already know how to create a invoice in Xero, and even a new template to make your life easier, let's cover all the information you'll need to include when creating your invoice:
- Invoice Title
- Business name and address
- Tax number (if needed)
- Business logo
The details that will change and will need to be updated on each invoice, are:
- Customer contact details
- The goods or services you supplied
- Due date
- Optional detachable payment slip
- Unique Invoice number
- Date invoice issue
- Customer or purchase order number or other reference
- Quantity and price of goods or services
- Total price before tax
- Total tax
- Total amount to pay
- Details to identify who paid⁴
You will also need to include your payment terms on the invoice, so that your customer knows how to pay you. As some of the details will always be the same, it makes sense to save this info with an invoice template, making your invoicing process faster and smarter. Here's how you can do it:
- Click your company's name and select "Settings";
- Select "Invoice settings";
- Next select the template you want to update, click "Options", then "Edit";
- In "Terms & Payment Advice (Invoice and Statement)", enter when and how you expect payment, your account details and even any discounts or penalties for early or late payments.⁵ For example:
Terms & Payment Advice:
Payment due: (add date)
Online payment details:
Account holder: (your company name)
IBAN: XXXX XXXX XXXX XXXX
After finishing your invoice you’ll need to send it to get paid - which means the sooner you can get the document to your clients, the better. Sending an invoice online, either automatically through your accounting software, or by saving it as a PDF and emailing it is the best way to get your invoice to your customer.
You don’t need to waste time and money posting paperwork, or rely on international postal services to help you get paid. Electronic invoices are just as acceptable as a paper document - and far easier to handle.⁶
Xero has also made it quick and easy to send invoices whenever it suits you, allowing you to send instantly from your phone or tablet - as they know that your business is dynamic so your invoicing should be too.
The added benefit of electronic invoices with Xero is that you have the option for your clients to pay you instantly, using a debit or credit card, your traditional bank account or other online payment platform.
But, when receiving payments from international clients it is worth considering a provider that specialises in international transfers, such as Wise Business' multi-currency account.
Using accounting software to create invoices is a great way to save time and simplify the process of invoicing. By choosing Xero invoice templates, you can create custom documents which suit your business, and contain all the information you need. Consider using Wise Business to receive international payments from clients with the multi-currency account, as another smart way to save money and allow you to take your business even further.
- Send Online Invoices | Xero UK
- Create an invoice for your customer – Xero Central
- Create an invoice template – Xero Central
- How to make an invoice that's taken seriously
- Get your invoices paid faster – Xero Central
- How to Send an Invoice | Guide to Invoicing | Xero CA
Sources checked on 20/12/2022.
This publication is provided for general information purposes only and is not intended to cover every aspect of the topics with which it deals. It is not intended to amount to advice on which you should rely. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content in this publication. The information in this publication does not constitute legal, tax or other professional advice from Wise Payments Limited or its affiliates. Prior results do not guarantee a similar outcome. We make no representations, warranties or guarantees, whether express or implied, that the content in the publication is accurate, complete or up to date.
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