Invoicing
Invoicing is crucial, but also one of those tasks that often gets pushed right down the to-do list. We get it, it’s time-consuming and distracts finance teams and managers from higher-value activities, but avoiding it can have seriously negative implications for the wider business.
At Framework, we take full ownership of the invoicing process, so businesses don’t have to worry about it. From billing to chasing up and everything in between, we keep discrepancies from falling through the cracks.
What is invoicing?
Invoicing is the formal request for payment that businesses send to customers after delivering services or goods to them.
UK invoices should include:
A unique invoice number and issue date
The supplier’s details and the customer’s name/address
A clear breakdown of services or goods provided
Itemised amounts, VAT if applicable, and the total amount due
Payment terms and a due date.
As well as legal compliance, invoicing feeds into cash flow and helps businesses secure revenue, track money owed, and keep finances moving in the right direction.
Why is invoicing an important aspect of business accounting?
Primarily, invoicing documents sales transactions and requests payment for services or goods rendered. A vital part of any organisation’s financial records, it protects against disputes and ensures HMRC compliance.
It also helps teams manage the timing of the payment process, which in turn controls cash flow and supports the business’s general health. On top of this, invoicing links to wider financial management activities such as bookkeeping, budget planning, and variance tracking.
How invoicing supports business growth
Efficient and transparent invoicing practices helps businesses grow by:
Streamlining payment processes and freeing up staff to focus on other tasks
Ensuring accurate and timely payments, reducing errors and disputes, which helps manage cash flow
Bringing in funds to operate the business and potentially finance growth opportunities
Allowing for better financial planning, decision-making, and forecasting
Reinforcing professionalism, trust, and reliability, which strengthens relationships with customers.
Six common mistakes businesses make with invoicing
There are lots of mistakes business owners make when it comes to invoicing practices. These include:
1. Delays
Whether it’s creating invoices or sending them, letting invoice duties pile up can cause issues for cash flow and the wider business.
2. Missing necessary details
We’ve seen invoices without invoice numbers, VAT details, and accurate dates, all of which can make them invalid in the eyes of HMRC. Another common error is not addressing invoices to a specific person or an invoice being addressed to the wrong person, both of which can result in delayed payments.
Having the incorrect level of narrative on the invoice is another common oversight. That’s why we ensure all invoices contain the appropriate level of detail to avoid disputes and speed up approvals.
3. Skipping automated reminders
The best way for invoices to get forgotten about and for payments to be delayed? Not following up on time.
4. Inconsistency
Invoice formats and templates matter, and inconsistency can create confusion and disputes. In industries such as health and beauty, where services, treatments, and memberships vary, structured systems are crucial to protect cash flow.
5. No link to bookkeeping systems
Entering data manually can result in more errors and reconciliation delays. Having invoices and bookkeeping systems linked reduces this.
6. Overlooking e-invoicing and integration
Invoicing tools can save time and effort, and not using them can slow down processes, add extra costs, and slow down efficiency.
How we can help
Our fully managed invoicing service is built for businesses in all kinds of sectors and removes what many business owners see as a headache.
This can include:
Invoice creation and delivery
We generate compliant, branded invoices complete with all the required details, ensuring they reach the right people with the correct information.
Automated reminders and payment tracking
We send follow-ups on behalf of your business, and track invoice status to reduce late payments and save time.
Software setup and integration
We take care of setting up and integrating the latest software so invoicing links to other aspects of your finance function, such as bookkeeping, cash flow, payroll, and budgeting
This can include implementing bespoke payment solutions, from building Stripe and similar tools into current systems to setting up direct debits, instalment options, deposits, and more.
E-invoicing readiness
Where possible and necessary, we help teams set up e-invoicing to speed up processes, cut costs, and stay compliant.
Purchase order management
We make it simple for teams to request or track purchase orders, ensuring a smooth process from approval through to payment.
Recurring and multiple invoices
Our systems make it easy to raise multiple or recurring invoices for businesses. This means staff can avoid wasted time that comes from duplicating admin tasks.
Reporting and insights
You’ll receive easy-to-digest dashboards showing billing performance, ageing invoices, and cash flow impact of all of the above.
Find out more
Get in touch to discover how we can help your organisation manage its invoicing.