Why non-profit companies should send professional invoices
Your funding comes in a variety of ways, from individual donors, to governments and corporations. That means you need an invoice that captures all the relevant information, including tax receipt information, for all your different types of donors.
No cookie-cutter invoice will do – you need one that can be flexible, but at the same time doesn’t take up lots of your valuable time. By clearly outlining the donation details with an easy-to-use, professional invoice template, you’ll make running your non-profit company that much easier.
Your invoices should also reflect the great work your company does. Every touch point with your donors should reflect your image and reputation in your particular field.
Once you've downloaded your free invoice template, you'll need to customize it to fit your specific business. Here are the 10 key things to include on your invoice:
- Title and Description: Name the project and briefly describe what type of work your client is being invoiced for.
- Company Details: Add your company name, address, phone number, and logo to the top-right corner.
- Customer Details: Under "Bill To", add your customer's name, address, and contact information.
- Invoice Number: Include a unique invoice number to help you track down this invoice in the future. You can format this based on sequence and customer. For example, if you're sending your very first customer their first invoice, the invoice number could be 001-001.
- Dates: Include the date when your invoice has been issued and the date when payment is due.
- Line Item: Add individual line items for each unique good or service you provided. For each line item, include a brief description, quantity, individual unit price, and total price.
- Subtotal: Add up the subtotal of your goods or services, before tax has been applied.
- Tax: Indicate the tax rate applied to the subtotal. This is legally required to provide on invoices, and your rate may differ depending on where you run your business.
- Total: Outline the total amount due from the customer, after tax.
- Notes: Include any additional info your customer should know, including terms of service and payment terms (for example, payments are due 30 days after the invoice has been issued).
- Browse through our wide range of non-profit invoice templates in several beautiful designs and colors
- Select the one that fits in with your cause, and download the invoice template in the format you use, such as Word, Excel, PDF, Google Docs, or Google Sheets. It’s free!
- Insert your non-profit business name, along with your address, phone number, and email address
- Add in your beautiful logo, website address, and any other graphics that help promote your cause
- Insert the donor’s name and all contact information required for a tax receipt
- Generate a unique invoice number and add it on
- Put in the invoice date, and if appropriate, the date the donation is due
- List all the details for the pledge or donation amount. If this invoice is for merchandise, add in the price per item
- Add lines to make sure the invoice covers all the details of the donation, such as a one-time donation, or a regular, monthly contribution
- Calculate the total donation and any merchandise that may be subject to tax, and enter the total
- Include the methods of payment you accept
- As a non-profit organization, you rely on the generosity and continued dedication of your donors, so always add a “thank you” and a personal note for how important this donation is to your cause
- Save a copy for your records – and send the invoice to the donor
When is the right time to send an invoice to your non-profit donor?
It’s best to send an invoice for a donation right away. If the donation is broken up over time, or for monthly or quarterly contributions, you should send out the invoices accordingly. If the invoice is for merchandise, it should be given out along with the order, or send ahead of time for pre-payment if it is a large order.
Quick invoicing tips for non-profit organizations
Include a ‘donation due’ date
It’s a great way to gently encourage the donor to make the donation as soon as possible. You can also explain why the donation is urgently needed now.
Don’t be shy about following up
If a donor misses the donation date, follow up immediately. It’s probably just slipped their mind. Be friendly and polite and your donors will appreciate the reminder. It’s also another great opportunity to tell them about your cause and how you will be using their donation to make a big difference to the work your non-profit does.
Add to your accepted methods of payment
Make it as easy as possible for your donors to make their donations! Add electronic options to your accepted payment methods, such as e-Transfers, debit cards, and online payment methods.
Keep a record of donations with numbered invoices
Numbered invoices help you keep track of how much money is coming in to your organization so you can plan the next steps for your worthy cause. It also shows you are running a responsible, organized non-profit organization that will make the best use of the donations that come in.