Creating invoices is an essential part of running a business. Many professionals continue to use Microsoft Excel as a straightforward tool to manage this process. Whether you’re a freelancer, consultant, or small business owner, knowing how to create an invoice in Excel gives you a starting point that’s flexible, familiar, and cost-effective.
But Excel isn’t always the best option as your business grows. This quick guide walks you through how to make an invoice in Excel, while highlighting smarter tools for scaling, like moving to an automated invoice generator that reduces admin and improves cash flow.
For those looking for a full guide on invoice types, legal requirements, and compliance, visit our guide: What Is an Invoice?
Why Excel Works for Basic Invoicing
If you’re just getting started with billing, using Excel to create invoices makes a lot of sense. It allows you to design your layout, apply basic formulas, and issue professional invoices without paying for software.
Common reasons businesses start with Excel:
- It’s a free invoice option
- It offers flexibility to design your invoice template
- You can save each invoice as a PDF file and email it directly
There are also many free Excel invoice templates available online. These help you set up your basic invoice without needing to build one from scratch.
Still, the more invoices you generate, the more manual work and risks Excel introduces.
How to Create an Invoice in Excel – Step by Step
Here’s a quick guide on how to make an invoice in Excel from scratch. These steps will help you build a complete invoice template in Excel that looks professional and includes everything required to get paid on time.
- Open a blank Excel spreadsheet
Use Microsoft Excel to open a clean sheet or download a free template in Excel to start faster.
- Insert your business details
Include your business name, logo, address, and contact information.
- Add invoice-specific details
Include a unique invoice number, issue date, and payment due date. These help with tracking and compliance.
- Add client information
List the recipient’s name, company, and billing address.
- Create an itemised list
Add columns for description, quantity, unit price, and line total. Use formulas to auto-calculate subtotals and VAT.
- Insert payment terms and notes
At the bottom of the invoice, explain how and when payment should be made. Include bank details or payment links.
- Save the invoice as a PDF
Export your finalised Excel invoice as a PDF and send it directly to your client by email.
You can also reuse your finished file as an Excel invoice template by saving a clean version to duplicate and update as needed.
When Excel Starts Slowing You Down
While Excel is great for creating your first invoice templates, it often becomes a bottleneck. Issues emerge when your invoice volume increases or your billing process gets more complex.
Common challenges:
- Manually updating invoice numbers and dates
- Errors in formulas or totals
- Lack of visibility into which invoices are paid or overdue
- No ability to schedule recurring invoices or send automated reminders
- No dashboard for invoice management
In short, Excel helps you make an invoice, but it doesn’t help you manage invoices efficiently.
The Long-Term Solution: Use Invoicing Software to Automate the Process
Many growing businesses move on from Excel and start using an automated invoice generator. Tools like Surplus Pricing offer a faster, more accurate way to create invoices, track payments, and link to your quoting workflow.
With Surplus Pricing, you can:
- Use a range of invoice templates tailored to your business
- Instantly generate an invoice from an approved quote
- Track invoice status (sent, viewed, overdue, paid)
- Automate recurring invoices and reminders
- Customise your professional invoice layout with branding
- Export invoices in PDF format or send directly from the platform
Unlike Excel, invoicing software isn’t just about formatting — it supports the full invoice creation process from quoting to collection.
How to Switch from Excel to Smarter Tools
Switching from manual spreadsheets to automated software is easier than most expect. Here’s how to transition from using Excel to create an invoice to a smarter system designed for scale:
- Export your current Excel invoices
Back up your templates and client data.
- Set up Surplus Pricing
Choose a template for your business, configure your branding, and adjust payment terms.
- Define your invoice workflow
Set rules for one-off projects, retainers, or recurring services.
- Start generating invoices automatically
Eliminate copy-pasting and remove the need to track every invoice in Excel manually.
Final Thoughts
Knowing how to create an invoice in Excel is a valuable skill, especially if you’re just starting out or learning how to send an invoice professionally. But as your operations expand, Excel can hold you back.
Automated tools like Surplus Pricing are built to streamline the full invoice creation workflow, helping you issue cleaner, faster, and more accurate invoices, with less admin.
Ready to upgrade your invoicing?
Try Surplus Pricing and access powerful features that help you send invoices, get paid on time, and stay organised — all in one place.
