The eight items every UK invoice needs
HMRC is specific about what goes on an invoice. If something's missing, a customer can dispute it, or you might struggle to prove the sale later on. Here's the full list, and our free tool fills in most of it for you.
| Item | What to put there |
|---|---|
| A unique invoice number | Number them in order: INV-001, INV-002 and so on. Never reuse a number, so there's no arguing later about which invoice a payment was for. |
| Your name and address | Your business name and an address where legal documents can be delivered to you. If you trade under a business name, include your real name as well (more on that below). |
| The customer's name and address | Who you're billing: their full company or personal name, and where they want the invoice sent. |
| A clear description of the work | "Homepage design for Acme Ltd" is much better than "consulting". The more specific you are, the fewer queries you'll get and the quicker you'll be paid. |
| The date the goods or service were provided (the supply date) | When you finished the work. If you invoice as soon as you deliver, it's effectively the same as the invoice date. If the work finished earlier, note that in the notes field. |
| The date of the invoice | The day you sent it. Your payment terms count from this date. |
| The amount(s) being charged | Each line item with its price, plus the quantity and rate where that makes sense. One line is fine if you only did one thing. |
| VAT, if it applies, and the total owed | If you're VAT-registered, show the net amount, the VAT at the correct rate, and then the total. If you're not registered, just show the total. |
Extra details for sole traders
If you use a business name, your invoice also has to show your own name and an address where legal documents can be delivered. Your home address is fine for that.
For comparison, a limited company has to show its full name exactly as it appears on its certificate of incorporation, and if it lists any directors' names, it has to list all of them. You don't need to worry about that as a sole trader.
It also helps to keep a simple log of your invoices, or at least number them in order, so you can match every invoice to a job and a payment.
When you need a full VAT invoice
If you and your customer are both VAT-registered, HMRC expects a proper VAT invoice rather than an ordinary one. That has everything above, plus your VAT registration number, the date of supply for each item with its quantity and unit price, and the net amount, the VAT rate on each line and the total VAT charged.
You need to issue it within 30 days of the supply. Most new sole traders aren't VAT-registered yet, and if that's you, an ordinary invoice with the eight items above is all you need. There's no VAT number to add.
Payment terms and late payers
Put your payment terms on the invoice itself. We'd suggest asking for payment within 7 days, and taking a deposit on anything that runs longer than a week. If no date has been agreed, the law treats payment as overdue 30 days after your customer gets the invoice or you deliver the work, whichever is later.
On business-to-business debts you can charge statutory interest at 8% plus the Bank of England base rate, and fixed compensation for the cost of chasing: £40 for debts up to £999.99, £70 for debts from £1,000 to £9,999.99, or £100 for debts of £10,000 or more.
Usually a polite reminder, followed by one formal letter that mentions the Act, is enough to get an invoice paid without taking it any further.
Make your invoice with the free tool
Our free generator does the numbering, dates, line items and the VAT breakdown. It all stays in your browser, and nothing is uploaded.
Free Invoice Generator
Numbered, dated and with VAT worked out if you need it. Print it or save it as a PDF when you're done.
Open the generator →Sole Trader Starter Pack, £19
An invoice template with the payment terms already filled in, and five other files for the rest of the paperwork.
See what's inside →Common invoice questions
Does my invoice need a VAT number?
Only if you're registered for VAT. If you aren't, leave it off and just show what's owed.
Can I send an invoice by email or PDF?
Yes. An electronic invoice is fine as long as it has all the required details and the customer can read it and keep it. A PDF saved from our generator does the job.
What if my client doesn't pay on time?
On business-to-business debts you can charge statutory interest at 8% plus the Bank of England base rate, and fixed compensation for chasing: £40 for debts up to £999.99, £70 for debts from £1,000 to £9,999.99, or £100 for debts of £10,000 or more.
Do I need a different invoice for each client?
No. Use the same template every time and give each invoice the next number in the sequence, so you can match every job to a payment.
How long should I keep my invoices?
HMRC expects you to keep business records for at least five years after the Self Assessment filing deadline, so don't bin them once the invoice has been paid.