Corporate clients rarely refuse to pay because they don't want to. They delay because the invoice can't get through their accounts payable process: no PO number, no TIN, VAT not shown separately, wrong company name. A complete invoice is the cheapest collections tool you have.
What must a Nigerian company invoice include?
About you
- Your trading name and, if different, your registered company name
- RC number (or BN number) and TIN
- Address, phone and accounts email
About the client
- Their registered name and billing address
- Their TIN (needed on B2B VAT invoices)
- A contact person or department ("Attn: Accounts Payable")
- Their purchase order (PO) or reference number
The invoice itself
- The word "Invoice" (or "Tax invoice"), a unique sequential number, the issue date and the due date
- Clear descriptions of the services, with quantity, rate and amount per line
- Subtotal, then VAT at 7.5% shown as its own line, then the total
- If the client deducts withholding tax: "Less WHT (5%)" and the amount payable
- The amount in words (many Nigerian finance teams expect it)
- Your bank details, and the reference you want used on the transfer
- Payment terms ("Due within 30 days") and any late-payment terms
Example invoice layout
| INVOICE INV-0042 | Date: 3 October 2026 · Due: 2 November 2026 · PO: PO-4471 |
| From | Northwind Creative Ltd · RC 1847263 · TIN 21847263-0001 |
| Bill to | Harbour Logistics Ltd · TIN 30112233-0001 · Attn: Accounts Payable |
| Description | Qty | Rate | Amount |
|---|---|---|---|
| Social media management, October | 1 | ₦1,250,000 | ₦1,250,000 |
| Subtotal | ₦1,250,000 | ||
| VAT (7.5%) | ₦93,750 | ||
| Total | ₦1,343,750 | ||
| Less WHT (5% of ₦1,250,000) deducted by client | −₦62,500 | ||
| Amount payable | ₦1,281,250 |
One million, two hundred and eighty-one thousand, two hundred and fifty naira only.
Why should WHT be on the invoice?
If the client will deduct withholding tax, showing it avoids the classic back-and-forth where they pay ₦1,281,250, you expect ₦1,343,750, and nobody knows why. Calculate WHT on the amount before VAT. See withholding tax in Nigeria.
How should I number invoices?
Use a single sequence that never repeats or skips, for example INV-0001, INV-0002. Don't reuse numbers from cancelled invoices. Mark those invoices as cancelled instead. Sequential numbering matters for VAT audits and will be required as the NRS rolls out e-invoicing.
How do I make an invoice easier to pay?
- Send it to the accounts email, not only your contact on the project.
- Include a payment link so the client can pay by card or transfer on the spot.
- Put the invoice number in the transfer narration instruction, so you can match payments.
- Agree payment terms in the contract before the work starts, not on the invoice. See mobilisation fees and deposits.
Invoice checklist
- Your RC number and TIN
- Client's registered name, TIN and PO number
- Unique invoice number, issue date, due date
- Itemised lines with clear descriptions
- VAT on its own line at 7.5%
- WHT deduction and amount payable (if applicable)
- Amount in words
- Bank details and payment reference
- Sent to the client's accounts payable address
How BizBooks creates invoices
BizBooks fills in your RC number, TIN and bank details automatically, asks for the client's PO number, calculates VAT and WHT, writes the amount in words, numbers invoices in sequence, and sends a secure "Pay now" link through your own Paystack or Flutterwave. See invoicing.
Frequently asked questions
What should be on a VAT invoice in Nigeria?
Your name, address and TIN; the customer's name and address (and TIN for business customers); a unique invoice number and date; a description of the supply; the net amount; VAT at 7.5% shown separately; and the total.
Should I show WHT on my invoice?
Yes, if you know the client will deduct it. Showing the WHT and the amount payable avoids disputes and makes it easier to match the payment.
Is the amount in words required?
It isn't a legal requirement for VAT, but many Nigerian finance teams expect it, and it reduces the risk of disputes over figures.
How long should payment terms be?
Terms of 14–30 days are common for corporate clients. Agree terms in the contract, and consider deposits for project work.