Invoicing that gets you paid
An invoice has two jobs: satisfy the rules, and get money into your account. Most tools handle the first and leave you to chase the second.
What a VAT invoice must show
If you are VAT registered, an invoice has required contents and it is not a matter of taste.
- A unique sequential number and the date of issue
- Your name, address and VAT registration number
- The customer's name and address
- A description, the VAT rate applied, the net amount and the VAT
- The total payable
Recurring and repeat billing
Bill the same client the same thing every month and it should raise itself. Bill the same work to different clients and it should be a template you start from. Both remove the most common cause of a late invoice, which is simply forgetting.
Late payment is chargeable
Between businesses you are entitled to statutory interest and a fixed recovery sum under the Late Payment of Commercial Debts (Interest) Act 1998, without it being written into your terms. Overdue invoices are surfaced with the interest already calculated, which changes the conversation from a complaint to an invoice line.
Common questions
Do invoice numbers have to be sequential?
For VAT invoices, yes, they must form a unique sequence. Gaps invite questions about missing invoices, so let the software allocate them rather than typing them by hand.
Can I invoice in another currency?
Yes, and it is common. If you are VAT registered the VAT figure must also be shown in sterling using an acceptable exchange rate. Keep the rate you used, since it is part of the record.
When does the sale count for VAT?
The tax point determines which return the sale falls into, and it is not always the invoice date. Broadly it is the earlier of supply, invoice or payment, with a short window that can move it. This is what puts a sale in the wrong quarter when it goes wrong.
Last updated 2026-04-25. Thresholds, rates and allowances are indexed or reset at fiscal events and are deliberately not quoted here; check GOV.UK for current amounts.