What does an invoice need to include?

There's no official invoice template in the UK, but there is a list of things every invoice must show. Here's what sole traders need to include, plus a few extras that help you get paid faster.

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10/21/20264 min read

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What does an invoice need to include?

There's no official template for an invoice in the UK. You can make one in Word, a spreadsheet or invoicing software, and it can look however you like. What matters is what's on it.

Here's what the rules say a sole trader's invoice must include, and what's worth adding so you get paid on time.

What every invoice must include

According to GOV.UK, an invoice must show:

A unique identification number
Your business name, address and contact details
The name and address of the customer you're invoicing
A clear description of what you're charging for
The date the goods or service were provided
The date of the invoice
The amount being charged
The VAT amount, if it applies
The total amount owed

The extra rules for sole traders

As a sole trader, your invoice also needs to show:

Your own name, and any business name you trade under
If you use a business name, an address where legal documents can be delivered to you

So if you're Sam Taylor trading as Bright Spark Electrical, both names go on the invoice.

What about VAT?

If you're not VAT registered, don't charge VAT and don't show a VAT number. Your invoice simply shows the amount due.

If you are VAT registered, you need to issue VAT invoices, which carry more information, including your VAT number and the VAT rate and amount for each item. Most invoicing software handles this for you once you've entered your VAT details.

Not required, but worth adding

These aren't legal requirements, but they make it easier for your customer to pay you:

Your payment terms and a due date, written as an actual date
How to pay - your bank details, or a link to pay online
A purchase order number or reference, if your customer uses them
What happens if the invoice is paid late

Invoice numbers

Every invoice needs its own number, and the numbers should run in order with no gaps or repeats. A simple pattern like 2026-001, 2026-002 works well. If you make a mistake, don't delete the invoice and reuse the number. Issue a credit note or a corrected invoice with a new number instead.

Payment terms and late payment

You can set whatever payment terms you like - payment up front, 7 days, 14 days, 30 days. If you don't agree a date, the customer must pay within 30 days of getting your invoice or the goods or service.

If a business customer pays late, you're entitled to charge statutory interest of 8% plus the Bank of England base rate. Many sole traders never use it, but mentioning it on your invoice can be enough to move you up the queue.

Chasing is the part most people put off. Invoicing tools such as FreshBooks and Zoho Invoice can send payment reminders for you, so you don't have to write the awkward email yourself.

How long to keep invoices

Keep a copy of every invoice you send. HMRC expects you to keep records for at least 5 years after the 31 January filing deadline for that tax year. Our post on what records you need to keep as a sole trader covers this in full.

Tools that do it for you

Invoicing software fills in most of the list above automatically. It numbers your invoices in order, adds your details, tracks who has paid and can send reminders for you.

Zoho Invoice is free for up to 500 invoices a year, with quotes, recurring invoices, payment reminders and online payments
FreshBooks is built around invoicing. Every plan includes unlimited invoices, recurring invoices, automatic payment reminders and late fees, and you can turn tracked time into an invoice. Plans start at £16 a month for up to 5 billable clients, with a 30-day free trial and no card needed
If you already use accounting software, check what it includes - Sage Sole Trader has a free plan that covers 5 invoices a month, and Xero covers 10 on its Simple plan
Some business bank accounts have invoicing built in, including Tide's free plan, which covers 3 invoices a month

If you send a handful of simple invoices a month, a free option will do the job. If you bill by the hour, have clients on a retainer or spend too long chasing payments, a paid tool like FreshBooks starts to earn its keep.

You can compare the options in our Invoicing directory.

Prices checked October 2026. Always check each provider's website for current pricing before signing up.

A quick checklist

Before you send an invoice, check it has: