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How and why create a deposit invoice?

How and why create a deposit invoice?

Creating an invoice is a crucial step for self-employed entrepreneurs. But how do you make a deposit invoice? What makes installment invoices different from a regular invoice and what are the invoicing rules in general? Learn everything you need to know about deposits and their invoicing.

Why ask a customer for a deposit?

As a self-employed entrepreneur, drawing up an invoice is your daily bread, as part of your services. On the other hand, it is a little rarer to issue invoices for a deposit. The latter is simply deductible from the total of the final invoice. The payment of a deposit is however common and even strongly recommended in the context of the sale of goods and services. The purpose of advances and down payments is to secure the final transaction. This will ensure that your invoice is paid in full when the time comes to charge your customer.

The amount of the deposit paid represents an advance on invoice, which must be able to generate a trace. By definition, the invoice with VAT on account is a necessary element for accounting and commercial management, in the same way as a paid invoice. Issuing an initial deposit invoice as progress following a customer order does not differ greatly from the usual Excel or electronic invoice template.

Create a deposit invoice: What are the mandatory information?

For any service provided by a micro-entrepreneur, an invoice must be drawn up. Installment invoices do not differ from invoices for the total amount, which is also called the final invoice. Establishing your invoice when paying the deposit is a necessity so that trust can reign between the 2 parties. It is particularly mandatory when quotes and invoices for the provision of the service are particularly high.

Invoice the deposit should be similar to the simple invoicing type. That is, the invoice should include the following:

  • The social reason
  • Date of issue or date of invoicing
  • billing information
  • Time limits for payment and delivery of goods
  • The unit price excluding tax of the goods
  • Value added tax and VAT amount
  • The due date
  • The siret number
  • The electronic signature

    Without forgetting of course to mention "Invoice on account" as the title of the invoice.

How will final billing be established?

Also called adjustment invoice, the balance invoice with the total amount of the invoice will be issued upon delivery of goods or at the end of the service delivered. This last balance invoice must mention the amount of the invoice, the VAT rate, the installments received with the numbering of the invoices issued and all the legal notices relating thereto.

Can a deposit invoice be canceled?

Please note that in the case of a cancellation of a deposit invoice, you will need to issue a credit note on it. Indeed, in accordance with the legislation in force, all traces of operations carried out must be kept. A new invoice will therefore be used to cancel the first invoice.

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