Invoicing basics: Who signs an invoice?
An invoice is a critical component for many businesses. Learn about who should sign your invoices and how to quickly and easily collect digital signatures.
Businesses let clients know how much they owe by sending invoices. Although client signatures aren’t always legally required, doing so can make it easier to fast-track payments and more. So, who signs an invoice between your business and the client?
Does every invoice need to be signed?
Do invoices have to be signed every time? Understanding this is crucial for maintaining accurate financial records and ensuring compliance with your business practices.
In short, yes, in most cases, every invoice should be signed. It’s not a legal requirement, but a signed invoice provides documentation and a clear record of the terms that have been agreed upon, which can help prevent disputes and speed up the payment process.
Who signs the invoice from the team?
Any authorized representative from your business or team can sign the invoice. It’s not restricted to a particular team member or owner. Please note that it’s crucial to ensure that the signer has the authority to represent your business and commit to the terms specified in the invoice.
Who signs an invoice before it’s paid?
Businesses invoice clients regardless of whether the amount owed has been paid because it serves as a contract or a receipt. It’s an essential step in helping to ensure a smooth invoicing and payment process. If the client hasn’t yet paid, your invoice should include your signature and a space for their signature. Once the client signs the invoice, they've legally agreed to pay the amount owed.
Who signs an invoice after it’s paid?
After an invoice is paid, it’s typically marked to say so but may not require an additional signature. The initial signature before payment is the legally significant one. However, some businesses may choose to add a confirmation of payment or a thank-you note as a separate document. If your client has already paid, your invoice should clearly indicate that nothing is due. It should also include your signature.
Make your invoice legally binding with the right signatures.
Invoices outline the details of what someone owes you, usually goods and services. However, an invoice is generally considered a one-sided agreement until the client has signed it.
Once you’ve collected a legally binding signature, your invoice can technically be considered a contract. If you set up your invoice correctly, a client signature represents their agreement to submit payment in full. Depending on the e-signature software you use, you can track your invoice’s progress directly from the application’s dashboard.
Sign invoices like a pro.
Whether you choose to collect digital signatures or e-signatures is up to you — versatile Adobe Acrobat supports each type. Digital signatures and e-signatures are both legally binding. Digital signatures simply give you more security and are backed by certified digital IDs.