Invoice terms & conditions ?

iMax

Not expecting a swift reply to this due to the holidays, but I'm looking for an example of terms & conditions for an invoice, including % per month interest added.

Anyone got any pointers ?

nompere

Anyone operating in business will tell you that there is an enormous difference between putting an interest rate on your invoices to apply to late payments and actually being able to collect that interest.

The only people who seem to be able to collect interest on late payments are the Revenue Commissioners!

I do appreciate that there is a statutory mechanism in place when selling to State bodies.

mneylon

The key thing to put when the monies are due ie. on receipt or in X days

smcgiff

The other important one is to include a line along the lines of...

The goods remain the property of X Ltd until they are paid for in full.

This is important for several reasons, such as if the company that bought off of you goes into liquidation, and it gives more of a legal right to retake your goods for non payment.

Of course, not so important if you only provide services.

mathepac

E&OE - Errors and Omissions Excluded. Signals your intention to cancel invoices or issue adjustment invoices in the case of errors.

Bombe

I agree with nompere... big difference between stating you will do something and trying to enforce it.... Could send your customer some where else if you are to pushy....

It is a tough one to call....

mneylon

Bombe wrote: »

I agree with nompere... big difference between stating you will do something and trying to enforce it.... Could send your customer some where else if you are to pushy....

It is a tough one to call....

Non-paying customers aren't worth having.

iMax

Was just about to post what blacknight did. I don't see the need to tread softly with customers in the hopes they won't screw you over, they're already costing you money on bank charges & time chasing them up.

The interest could be discounted off. My wife's company have a number of customers constantly pressuring them for additional discount just to pay on time, despite the fact they're already discounted & signed up to the terms of business.

One of them they make no money on at all & only have them because they're a "prestige" label. Doesn't make sense to me.

Bombe

Blackknight - Not all of us can tell large customers to take a jump....they will delay payment when they can but will always pay in the end

The question was in relation to adding on interest - and I believe that is a tough one to enforce...ongoing..