Cash flow kills more engineering businesses than lack of work ever will. You can have a full order book and still go under if customers don't pay on time. Your invoice template plays a bigger role in getting paid promptly than most business owners realise.
A professional, clear invoice does three things: it reinforces your brand, it makes payment easy, and it reduces queries that delay payment.
SectionThe Hidden Cost of Poor Invoicing
The average UK SME is owed £24,000 in late payments at any given time. For engineering businesses with project-based work, this figure is often higher.
| Invoice Problem | Impact on Payment |
|---|---|
| Unclear payment terms | Customer assumes 30 days when you expected 14 |
| Missing PO numbers | Invoice rejected by accounts department |
| Confusing layout | Customer queries delay payment |
| No payment details | Customer has to request bank details |
SectionAnatomy of an Effective Engineering Invoice
The Header: Branding and Legal Requirements
UK invoices have specific legal requirements including company name, registered address, company registration number, VAT number, invoice number, and dates.
Payment Terms: Be Explicit
Your invoice should state clearly the payment due date, accepted payment methods, bank details, and late payment policy.
Under the Late Payment of Commercial Debts (Interest) Act 1998, you can charge interest of 8% plus the Bank of England base rate on late B2B payments.
SectionSetting Up Your Simpro Invoice Template
Navigate to System > Setup > Form Setup > Invoice. Duplicate the default template before making changes.
Key Fields to Include
Header Fields: CompanyLogo, CompanyName, CompanyAddress, VATNumber, InvoiceNumber, InvoiceDate, DueDate
Customer Fields: CustomerName, CustomerAddress, CustomerPONumber, SiteAddress
Financial Fields: LineItems, NetTotal, VATAmount, GrossTotal, BalanceDue
SectionAdvanced Invoice Features
Progress Invoicing
For larger engineering projects, Simpro supports progress claims showing total contract value, previously invoiced amounts, and remaining balance.
Retention Handling
Your invoice template should accommodate retention clauses showing gross value, retention percentage, and net amount due.
SectionTransform Your Cash Flow
If late payment is strangling your engineering business, fixing your invoice template is a good start—but it's rarely enough on its own.
SectionGet Started Today
Want professional invoice templates right now? Browse our ready-to-use Simpro templates designed specifically for UK engineering businesses—download and start getting paid faster today.
Need help building a complete cash flow system? Book a free discovery call to discuss how we can transform your entire quote-to-cash process.