Sole trader invoice
As a sole trader you can invoice under your own name or a trading name. The invoice still needs clear details, a unique number and the right VAT treatment.
What a sole trader invoice should show
- Your name (and trading name if you use one) and address
- The customer's name and address
- A unique invoice number and the invoice date
- A description of the work, quantity and amounts
- VAT details only if you are VAT registered
- Payment terms and due date
VAT for sole traders
Sole traders must register for VAT when taxable turnover exceeds the VAT threshold, and can register voluntarily. If registered, charge the correct VAT rate, show your VAT number and keep VAT records. If not registered, do not charge VAT.
Sole trader vs limited company
A sole trader is personally responsible for the business; a limited company is a separate legal entity. The invoice layout is similar, but a limited company should show its registered company name and company number where relevant.
Related tools and guides
Frequently asked questions
Can a sole trader use a trading name on invoices?
Yes, but make sure the invoice clearly identifies who the customer is contracting with. Include your own name and the trading name so there is no confusion.
Does a sole trader need a VAT number on every invoice?
Only if you are VAT registered. If you are not registered, do not show a VAT number or charge VAT.