The sales invoice is the document created by a seller for the buyer that has legal validity. The document will contain all the information about the sale of the item to the buyer to confirm the exchange of ownership of the item. The bill of sale assures both the buyer and the seller that the transaction was carried out in a manner acceptable to the parties involved in the exchange of goods. This document is intended to reduce fraud and illegal acquisition of property. The seller is drafting this document and must include all the details associated with the sale of goods.
The bill of sale offers protection to both the seller and the buyer for the transaction between them. It acts as proof of sale of the property from the seller to the buyer. Said legal document or invoice is necessary in the case of the sale of automobiles and other assets or properties. The legal invoice in printed format is not necessary, as you can make your own bill of sale whenever you want to sell a property. There are two types of sales invoice, such as the absolute invoice and the conditional invoice.
The absolute invoice is used to consider that the transfer of title is complete. In absolute invoice, the seller agrees that the buyer has paid for the property and the title is transferred to the buyer. The seller also agrees that all claims related to the property be transferred to the buyer’s name. The conditional invoice allows the owner to regain control of the property until the buyer pays for the purchased property in full. In case of non-payment as agreed in the document, the seller can obtain permanent ownership of the property.
Various types of information must be included on the bill of sale for it to be legally binding. You have to write down the date of the transaction in this legal document. Along with the date, write down the buyer’s full contact information, such as name, address, and contact number. Then write down all the contact details of the seller and it should be specified as the seller. It must contain the information that the transaction is agreed between both parties. Provide the detailed information of the asset or property being sold in the document. If there is warranty coverage for the property for sale, then you should clearly mention the warranty period as well as the type of warranty.
If you are selling a car, you should mention the vehicle’s model number, mileage, vehicle manufacturer, and chassis number. The important thing to include on the bill of sale is the amount in which the sale was made. The amount should be included in both words and numbers. The document should also contain whether the buyer has paid the full amount or agreed to pay in installments. The most important thing is that the bill of sale must contain the signatures of both the seller and the buyer, which are signed before the notary public.