How to Write An Invoice When Working With Freelancers

How to Write An Invoice When Working With Freelancers

In the last number of years, the gig economy has grown to be a major part of the current business landscape. More businesses, big and small, are working with freelancers and contractors in place of full-time staff. Working with a team of freelancers allows business owners to remain flexible as they can adapt their staffing requirements as required. Working with freelancers can save you money, increase productivity, and generate more revenue.

Working with a team of freelancers comes with its fair share of challenges and failing to manage these can be detrimental to your business. Having a team scattered across the world, working in different time zones, and using different payment methods can be difficult. It’s crucial that you have the right systems in place to ensure nothing slips through the cracks. Modern invoicing software can help you to automate many of these tasks to ensure your invoices are processed with ease. However, before you deal with processing invoices, first you need to make sure the invoice contains all of the correct information. Luckily there are many free invoicing templates geared towards freelancers available whether you are looking for a freelance graphic designer invoice template or something professional to hand over to your coaching clients, there are plenty of options available to get you started. 

Let’s take a look at what you need to include in an invoice when you’re working with freelancers. 

Invoice Header Information

The header of your invoice should be well-presented and include the name of your company and your logo if you have one. The header should clearly identify where the invoice is coming from and be easily recognizable. Freelancers receive a lot of invoices from different sources. To ensure yours is processed quickly, you need to make sure it’s noticed and that it looks professional. 

Contact Information

Your invoice should include your contact information. Be sure to include your business address, email, website, and phone number. Including this information will make it easy for freelancers to contact you if there are any issues with the invoice. 

Freelancer’s Contact Information

The invoice should also include the freelancer’s name and their contact information. Include as much information as you can. As many freelancers move around, they may not have a permanent address. However, they may have a business address on their website or in their email signature that you can reference. 

Invoice Number

Including an invoice number helps you to keep track of your invoices with ease. Having a well-organized invoicing system will make things much easier when tax time rolls around and allow you to find individual invoices with ease should you need to reference them or help a client. 

Payment Details

To ensure that the invoice is paid as soon as possible, it’s important to provide all of the relevant information. As freelancers are often international, be sure to offer digital payment options such as PayPal or Payoneer. You can also include bank details with the information required for an international transfer. Be sure to outline a due date and any payment terms you have such as fees for late payment.

What You’re Charging For

It’s important that you clearly outline what the invoice is for and the quantities, fees, or the number of hours being charged for. Be sure to lay everything out clearly so there is no confusion that could delay payment. Ensure the freelancer understands exactly what the invoice covers to avoid any potential disagreements that could impact your relationship going forward.

Amount Payable

Finally, you need to include the final amount payable. Clearly outline the price per hour or individual item, including any tax information, or discounts, and finally the amount due. Be sure to highlight the amount payable with a bigger font size or in bold so that it is clear how much the invoice is for. It’s also important to highlight the currency as freelancers typically work with clients in multiple countries. 

Ensure Efficient Invoicing When Working With Freelancers

To ensure that your invoicing process is as straightforward as possible when working with freelancers, you need to make sure you have created your invoice correctly. Be sure to include the correct information and highlight the important details such as the amount due and the due date. With a clear and easy-to-digest invoice, you can ensure that your invoicing process will be more efficient when you’re working with freelancers again in the future. 

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