Invoices. An essential document for any business. A document that essentially helps you get paid for the products and services you have provided a customer.
Invoices also help you keep track of the work you have carried out (essential for accounting and recording purposes) and what monies you are still waiting for (invoice not paid) to help manage cash flow and forecasting.
So, how can you create a comprehensive invoice for landscaping, ensuring you get paid for the services you have carried out on time – read on to find out more.
Invoice for Landscaping
Whether you provide a grass-cutting service or a full landscaping offer with various building and landscaping works combined, you want to be paid for the materials you have used, the equipment that has enabled you to carry out the job, and the man hours you have spent on the job.
This is where a professional landscaping invoice comes in.
The one universal document that customers understand as a formal request for payment for a job they have received.
But what should you include in your invoice, and when is the best time to issue this to your customers?
Invoice guide for landscapers
As a minimum, your invoice should include all services and work that has been carried out, the cost of any materials used (this can consist of plants, soil, lawn, etc), equipment, and even transport costs.
For example, when looking at your costs, consider the following:
Planning – how much time have you spent meeting with your customers about the design, landscaping plans, drawings, ideas, examination of the environment you will be working on, etc? Do you charge for this?
Materials – what has been purchased or will need to be purchased to complete the project, i.e., seeds, bulbs, soil, fertiliser, pesticides, fencing, decking, lawn, etc.
Equipment – Do you have the right equipment for the job, or will you need to buy or hire it?
Labour – what rate have you agreed to with your customer? Do you charge an hourly or flat fee to complete the entire project?
Landscaping invoice template
There are certain elements that your invoice must include, which we’ll look at below. For invoice templates, you can create your own using Word or even Excel. However, there are also various accounting software now available that can generate invoice templates for you and manage cash flow by monitoring income and expenditure automatically.
Elements that you should include on your invoice:
- Your business branding/logo
- Your business name/contact information
- A list of the services you have provided, including a description
- The cost of these services (breakdown)
- Your customer’s name and details
- The total amount owed
- Payment methods you accept (the more you can offer, the greater the chance of avoiding invoice not paid scenarios)
- Information on late payment fees and the penalty for a company not paying invoice
- Any early payment discounts you offer, i.e., 10% discount if paid within 15 days instead of 30
- Your account details for making payment.
Ideally, your invoice should be clear and concise, easy to read, and avoid any ambiguous jargon. The aim is to provide the right information to enable you to get paid, and promptly.
Your invoice should also be dated, include an invoice number (so you can keep a record and track of invoices easier), and have terms and conditions attached to these (terms and conditions should be previously agreed with your customer so everyone is on the same page and has full transparency).
When to issue your landscaping invoice
As soon as the work is complete, don’t wait or delay (and increase your chances of forgetting); issue your invoice straight away.
You should regularly review and verify your invoices and attach any supporting documents, i.e., pictures, as required.
The quickest and most effective form of communication is to send invoices via email.
However, you should also have effective credit control processes in place that prompt follow-ups, timely reminders when invoices become overdue, issue statements when required, and more.
This is an essential part of the credit control process for landscaping to avoid nonpayment of invoices, as, trust us, late payment can very quickly negatively affect your cash flow and place you in a challenging position both financially and with your customer.
With the right invoice issued at the right time, you can build a long-lasting and trusting relationship with your customers, encouraging a good working relationship with prompt payment.
Direct Route
At Direct Route, we help support businesses throughout the UK with their credit collection processes. From supporting your in-house credit function and acting as an extended part of your team, we can also help collect overdue and outstanding invoices.
Implementing tried and tested collection techniques that ensure successful recovery as well as maintaining good working relationships, speak to our team today to see how we can help your landscaping business.
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