How do you write a simple bill of sale?
A bill of sale is a document that transfers the ownership of goods from one person to another. It is used in situations where the former owner retains possession of the goods. Bills of sale may be used in a wide variety of transactions: people can sell their goods, exchange them, give them as gifts or mortgage them to get a loan. They can only be used:
- by individuals and unincorporated businesses;
- to transfer ownership of movable tangible goods; and
- to transfer ownership of goods that people already own.
What should be included in a Bill of Sale?
The bill of sale should include the following;
- transaction date or the date that indicates the transfer of ownership;
- description of good(s) sold and its cost;
- buyer and seller legal/contact details;
- payment details (currency, bank accounts, cash, etc);
- value of transferred goods;
- total sales amount, including sales tax;
- location of goods;
- as-is warranty;
- any defects;
- witness/ third party or notary signatures;
- specific characteristics of the items transferred.
Download this sample bill of sale template now for your reference.