How to Write a Commercial Invoice: What to Include and Common Mistakes

If you ship products internationally, the commercial invoice is the single most important document your package carries. Customs officials use it to assess duties, verify the shipment's contents, and determine if it can enter the country. Get it wrong, and your package sits in customs—or gets returned. Here's exactly what to include, how to write one, and the mistakes that trip up even experienced exporters.

What Must Be on Every Commercial Invoice

A commercial invoice isn't complicated, but it has to be complete. Missing or wrong information is the #1 reason shipments get delayed. Every invoice should include:

• Seller and buyer details: Full legal names, street addresses (no PO boxes), phone numbers, and tax IDs if applicable.
• Invoice number and date: Your unique internal number plus the issue date. Keep these sequential.
• Shipment details: Carrier name, mode of transport, and the incoterm (like FOB, CIF, or DDP). The incoterm determines who pays for freight and insurance.
• Full description of goods: Don't write "electronics" or "spare parts." Write "lithium-ion battery packs, 12V, for power tools." Include Harmonized System (HS) codes for each item—six digits minimum, ideally ten.
• Quantity and unit value: Number of units and the price per unit in the currency of sale. Total value for each line item.
• Total invoice value: The sum of all line items, plus any freight or insurance charges that apply.
• Country of origin: Where each item was manufactured. If you're reselling goods made in another country, list that country, not your own.
• Shipper's signature and date: A physical or digital signature from the exporter or authorized agent.

A quick example: You're shipping 200 custom-printed T-shirts to a buyer in Germany. Each shirt costs $8.00. Your invoice shows "Cotton T-shirts, men's, printed, HS 6109.10.00, 200 units at $8.00/unit, total $1,600.00, country of origin: USA, incoterm: FOB New York."

How to Fill One Out Step by Step

Start by downloading your carrier's template—FedEx, DHL, and UPS all provide free fillable PDFs. Or use your own, as long as it has the fields above.

1. Fill in seller and buyer info first. Double-check addresses—a typo in a postal code can reroute your package.
2. Add the invoice number and date. If you're sending multiple shipments for one order, use a suffix like INV-2024-001, INV-2024-002.
3. List each item on a separate row. Group identical items, but don't lump different products together. Each distinct product gets its own line with its own HS code.
4. Calculate totals. Add up the line items. If you're including freight or insurance, show those as separate line items, then a grand total.
5. Choose the correct incoterm. This is a common point of confusion. If you're shipping DDP (Delivered Duty Paid), you're responsible for all customs and duties. If it's FOB (Free on Board), the buyer takes over once the goods are on the ship.
6. Sign and date. Electronic signatures are widely accepted, but check your carrier's requirements.

Common Mistakes That Cause Headaches

Vague descriptions. "Machine parts" tells customs nothing. Be specific: "Stainless steel valve assembly for industrial pumps." Bad descriptions trigger inspections and delays.

Wrong or missing HS codes. You don't need to memorize them, but you must get them right. Use your country's customs website or a free HS code lookup tool. Even one digit off can change the duty rate.

Mismatched values. The value on your commercial invoice must match the value on your packing list, bill of lading, and any insurance documents. Discrepancies look like fraud.

Forgetting the incoterm. Some carriers won't accept an invoice without it. It tells everyone who pays for what and who holds risk during transit.

No signature. Sounds basic, but missing signatures are a top reason for customs holds. If you're using a digital process, make sure the signature field isn't blank.

Commercial Invoice vs. Pro Forma Invoice

A pro forma invoice is a quote you send before an order. It looks like a commercial invoice but says "pro forma" on it. Use it for: getting a price quote to a buyer, applying for import licenses, or arranging letters of credit. The commercial invoice is the final document that replaces the pro forma after the order is confirmed and shipped. Never send a pro forma in place of a commercial invoice for customs clearance—it won't be accepted.

When to Attach Additional Documents

Some shipments need more than just the invoice. If you're shipping hazardous materials, include the safety data sheet. For controlled goods like electronics with encryption, attach an export license or classification letter. Perishable items often require a certificate of origin or phytosanitary certificate. Check with your carrier or a customs broker before you ship—it's faster to add documents upfront than to scramble after the package is in transit.