How to Create an Invoice - Step by Step Guide
Creating your first invoice? Or just looking to improve your process? Here is a complete guide.
Before You Start
Requirements for invoicing:
- Registered business - Sole trader, limited company, or similar
- Business registration number - Register with your local business authority
- Bank account - Preferably a dedicated business account
Not registered yet? In most countries, setting up as a sole trader takes just a few minutes online.
Step 1: Gather Information
Before creating the invoice, you will need:
About yourself (the seller):
- Full name/business name
- Address
- Business registration number
- Bank account details
- VAT status (if applicable)
About the customer:
- Name/business name
- Invoice address
- Business registration number (if applicable)
- Reference person (optional)
About the delivery:
- What you delivered
- Number of hours/units
- Price per unit
- Any discounts
Step 2: Choose Your Method
Option A: Invoice Generator (recommended)
The simplest approach:
- Go to Fakturagenerator.com
- Enter your business details (looked up automatically from your registration number)
- Add customer information
- Describe goods/services
- Export to PDF
- Send to the customer
Advantages: Free, fast, professional appearance, automatic VAT and payment reference.
Option B: Word/Excel
- Create a template with all fields
- Fill in for each customer
- Convert to PDF
- Send manually
Disadvantages: Time-consuming, easy to make mistakes, no automation.
Option C: Accounting Software
- Choose a platform (QuickBooks, Xero, FreshBooks, etc.)
- Set up your business
- Create the invoice in the system
- Send directly from the software
Disadvantages: Costs money, requires setup, often more than you need.
Step 3: Fill In the Invoice
Required fields:
```
INVOICE
Invoice no.: 2026-001
Invoice date: 09/01/2026
Due date: 23/01/2026
FROM:
[Your name/business]
[Address]
Reg. no.: XXXXXXXXX
TO:
[Customer name]
[Customer address]
DESCRIPTION QTY PRICE TOTAL
----------------------------------------------------
[Good/service] [X] [amt] [amt]
Subtotal: [sum]
VAT 25%: [vat]
----------------------------------------------------
TOTAL DUE: [total]
Bank account: XXXX XXXX XXXX
Reference: XXXXXXXXX
```
Step 4: Quality Check
Before sending, verify that:
- [ ] All information is correct
- [ ] The invoice number is unique
- [ ] VAT is correctly calculated (if applicable)
- [ ] The due date is reasonable (14-30 days)
- [ ] Bank details and reference number are included
- [ ] The PDF looks professional
Step 5: Send the Invoice
Via email (most common):
- Attach the PDF
- Write a short, professional message
- Include the invoice number in the subject line
Sample email:
Hi,
>
Please find attached invoice no. 2026-001 for [description].
The due date is 23/01/2026.
>
Please do not hesitate to get in touch if you have any questions.
>
Kind regards,
[Your name]
Via post:
- Print the invoice
- Place in a window envelope
- Send as standard mail
Tips for Professional Invoices
1. Be Clear About What Was Delivered
The more specific your description, the fewer questions you will receive.
2. Set Reasonable Payment Terms
- Individuals: 14 days
- Businesses: 30 days
- Large corporations: Often 30-60 days (check the agreement)
3. Have a Follow-Up System
Set reminders to check whether payment has arrived.
4. Number Sequentially
Keep track of your invoice numbers. Never skip a number.
5. Archive All Invoices
You are required to keep invoices for several years, depending on your country's regulations (typically 5-7 years).
Common Mistakes to Avoid
- Incorrect VAT calculation - Use a calculator or generator
- Missing information - Check all required fields
- Unprofessional appearance - Use a template or generator
- Overly generous payment terms - Stick to standard terms
- Missing payment reference - Makes follow-up much harder
Use Fakturagenerator.com
Create an invoice in under a minute:
- Enter your registration number - we fetch the rest
- Add customer and line items
- Click "Export PDF"
- Done!
Save time. Avoid mistakes. Create professional invoices for free.