Billing Address on the Invoice in New Zealand
What is the Billing Address in the Invoice?
The billing address is the address of the customer which is where the business intends to deliver the bills to request payment. Since it is vital that the invoice needs to be delivered to the right customer, it is considered as one of the essential contents on the invoice. It is not possible to deliver an invoice to the right customer if there is no accurate billing address mentioned on it.
Following will be a discussion on what should be written as a billing address.
What Should be Written as the Billing Address on the Invoice?
The billing address on the invoice should be accurate and complete so that the invoice is timely delivered to the intended recipient. The following components makes the billing address complete.
Office number and premises name
This kind of information helps to locate the exact location of the recipient and the accuracy of the content is essential to ensure the correct tracing of the recipients. For example, the office number can be “107, in XYZ premises”
Street name
This refers to the name of the street where the office or premises of the recipient are located. This is helpful for the delivery person as they can gain an understanding of where the customer location is, purely by looking at the street name.
Postal code
This is also known as a zip code, and is unique to each location or area. It consists of different numbers for different areas. So this means that the postal code on the invoice, further aids in identifying the delivery area or location.
City Name
This is the name of the city where the invoice is intended to be delivered. For instance, “Washington DC”.
State name
This is the name of the state where the invoice is intended to be delivered. For example, “Texas”. In the same way, the name of the country is vital, in the situation of an international billing address.
Country name (optional)
In the situation of international trade, this is the name of the country where the bill is to be delivered.
Name of the intended recipient (optional)
Writing the full name of the recipient on the invoice will ensure that the invoice is delivered to the right person.
Contact information of the recipient (optional)
It is a good idea to include the contact number of the customer on the invoice as it can help the courier company to contact the recipient in the event that they find it difficult to reach their address.
Does it Matter if the Billing Address on the Invoice is Wrong?
It is extremely important to ensure the accuracy of the billing address on the invoice. The failure to do so, will lead to adverse results which include the following:
Delays in billing
It is inevitable that if the billing address is not correct on the invoice, then it may lead to delayed billing which therefore leads to delayed cash collection. In this situation, the invoice may need to be returned, or delivered elsewhere to another destination, which will create problems in the process of billing execution.
The additional cost of billing
If the invoice is returned to the business due to the wrong billing address, then you will be required to make an address correction and resend it to the customer. This means that once again, costs will need to be incurred, such as the cost of invoice printing, postage and delivery. This additional cost, may in turn, cause a reduced profit in the financial statement of the business.
Customer’s complaint or dissatisfaction
If the customer has to wait longer for the invoice or bill, it may leave them feeling dissatisfied. This in turn may lead to an impairment in the relationship between the seller and buyer. It may even lead to a loss of future business. This is why it is important to ensure the accuracy of the delivery address.
Conclusion
The billing address is the address where the supplier intends to send or deliver the invoice. Since an accurate billing address will ensure the delivery of the invoice to the right address, it is considered as one of the most essential components of the invoice. A wrong customer billing address on the invoice will lead to delayed billing and delayed cash collection. There will also be a need to incur additional costs if the invoice is lost or missed. In short, it is important to ensure the accuracy of the invoice addresses in order to execute efficient billing.
Invoicing tools for New Zealand: