How to Make Your Own Bill of Sale (Free Template)

How to make your own bill of sale

To make your own bill of sale, name the buyer and seller, describe the goods or service being sold, state the price and payment method, add any warranties or return terms, then have both sides sign and date it. Start from a free bill of sale template, fill in the details, and save the finished document as a PDF or Word file you can print, email, or hand over. A bill of sale also works as a receipt that proves the deal happened. Below is a full walkthrough, plus a worked example and free templates you can use.

Creating a bill of sale is an important step whenever you sell goods or transfer ownership. Without one, both buyer and seller are at risk of losing out financially, and their rights may not be fully protected if a disagreement comes up later. GenieAI offers a free, open-source legal template library and step-by-step guidance so you can produce a valid, professional document without paying for external counsel.

When you write the agreement, include every detail relating to the transaction: a clear description of the goods or service, the price paid, any warranties or guarantees, and any extra terms needed to protect both sides. A signature from each person makes the document legally binding. Without those signatures, either side may have little recourse if things don't go to plan.

A well-written bill of sale is useful evidence if someone fails to honor the deal, helping settle disagreements quickly and fairly. It matters for cross-border transactions too, where laws differ between jurisdictions, so an agreed contract recognized in more than one place saves time. The record can also confirm that payment has already been settled if one side later runs into financial difficulty.

You do not need an expensive lawyer to get this right. Our free template library covers everything from start to finish, so anyone can draft a high-quality legal document. Read on to learn how to make your own secure bill of sale.

Definitions (feel free to skip)

Legally binding: A legally binding document has the force of law and must be followed by the people involved.
Return policies: The rules that govern how a product or service can be returned for a refund or exchange.
Notarize: Having a document signed in front of a notary public, who verifies the identity of the signers and that they understand what they are signing.
Breaches of contract: When one side fails to fulfill the obligations laid out in the contract.
Fraud: The intentional deception of someone to gain an unfair advantage.

What this guide covers

• Outline the basics of a bill of sale, including what it is and why it is important
• Explain the elements that must be included in a legally binding bill of sale, such as the parties involved, the date, the items being sold, and the payment terms
• Research state and federal laws regarding bills of sale to ensure the document will be legally binding
• Explain the importance of properly documenting any additional items that are included in the sale, such as warranties, return policies, and shipping information
• Provide a sample bill of sale template that can be used as a guide
• Explain how to properly execute a bill of sale, including signing and notarizing the document if necessary
• Discuss how to store and retain copies of the bill of sale for future reference
• Describe any potential legal implications associated with a bill of sale and what to do if something goes wrong
• Offer tips and advice on how to best protect yourself and your interests when creating and executing a bill of sale
• Provide resources and contact information for any additional help or guidance needed

Get started

What is a bill of sale and why does it matter?

• Understand what it is: A bill of sale is a legal document used as proof of ownership and as a receipt during a sale of goods and services.
• Understand why it matters: It provides evidence of a sale and protects both the buyer and the seller if a disagreement arises.
• Become familiar with the different types: The form varies based on the goods or services being sold, and some states require a specific type for certain items such as vehicles.
• Know when you need one: Generally, you need a bill of sale when selling goods or services of a certain value or when transferring title to real estate.

Once you understand what a bill of sale is, why it matters, the different types, and when one is needed, you can move on to the next step.

How is a bill of sale different from an invoice or purchase order?

A bill of sale, an invoice, and a purchase order all record parts of a transaction, but they do different jobs. A purchase order is the buyer's request to buy; an invoice is the seller's request to be paid; a bill of sale confirms that ownership has actually transferred and serves as the buyer's receipt. If you also need to bill the customer, you can raise an invoice alongside the bill of sale and keep both on file.

If your sale involves billing a client, a professional invoice should carry the same core details as your bill of sale: the names, a clear description of each line item, the quantity, the price, and the date payment is due. Adding your business logo and a running invoice number keeps your records consistent and easy to track. You can create the invoice in whatever software or platform you already use, or use a free invoice generator, and save it as a PDF invoice to send alongside the bill of sale.

What must a legally binding bill of sale include?

• Gather the necessary details: the names and addresses of both parties, the date of the transaction, a clear description of the items being sold, and the payment terms
• Add this information to the document
• Make sure it is signed and dated by both buyer and seller
• Once every detail is in place, you can be confident the document will hold up as legally binding.

How do you write a vehicle bill of sale?

A vehicle bill of sale carries all the usual details plus the information the DMV needs to transfer registration. When you sell a car, truck, motorcycle, boat, or trailer, record the following so the buyer can register the vehicle in their name:

• The full name and address of the buyer and seller
• The vehicle's year, make, and model (for example, a 2019 Honda Civic, or a 2026 model year truck if you are selling a current-year vehicle)
• The vehicle identification number (VIN)
• The license plate number and current odometer reading
• The sale price and the date of sale
• Any warranty terms, or a clear note that the vehicle is sold as-is
• Both signatures, notarized if your state's DMV requires it

Check your state's Department of Motor Vehicles website for the exact vehicle bill of sale form and whether notarization or an odometer disclosure is mandatory, since the rules differ from one state to the next. Record the year, make, and model exactly as they appear on the title and registration, because the DMV matches these against its records before it will transfer ownership. Keep a copy with your registration paperwork so you have a clean record of the transfer.

How do state and federal laws affect your bill of sale?

• Research the state and federal rules that apply where the sale will take place
• Find out the legal requirements for creating a valid bill of sale in that jurisdiction
• Identify any extra paperwork you need to attach to make the agreement enforceable
• Note any special restrictions or regulations that must be followed, including vehicle registration rules at the DMV
• Once you understand the legal requirements, you can move on to the next step.

How do you document warranties, returns, and shipping?

• Review the local, state, and federal rules that may apply to the sale
• Clearly record any warranties, return policies, and shipping information in the document
• Check the paperwork for accuracy and completeness, making sure every detail is correct
• Once the extra terms are recorded and everything checks out, move on to the next step.

Free bill of sale template to use as a guide

• Download or create a bill of sale template that fits your state, available as an online form, a PDF, or a Word document
• Fill in the required fields: both names and addresses, the date, a description and serial number of the item being sold, and the purchase price
• For a car, truck, or boat, add the year, make, model, and VIN so the buyer can handle registration
• Make sure the template is legally binding and complete
• Adjust the template to match the specifics of your transaction
• Save the finished version as a PDF so you can print it or send it to the other side.

Working from a template is faster than starting from scratch. You click into each field, enter the details, edit anything that doesn't fit your transaction, and the document is ready to sign. Your information stays private throughout. GenieAI's privacy policy sets out how your data is handled, so you keep control of who sees the finished paperwork. GenieAI's template library is free to use.

How do you sign and notarize a bill of sale?

• Read through the document carefully and confirm every detail is correct before signing
• Both the seller and buyer should sign
• If notarization is required, both should bring a valid photo ID to the notary
• The notary reviews the document and the ID before notarizing
• After signing and notarizing, each side should receive a copy
• Once everyone has signed, the process is complete

How should you store and keep copies?

• Make copies for everyone involved
• Store the original in a safe, secure place
• Scan and save a digital copy, ideally as a PDF you can find quickly
• Keep records of everyone involved, including contact and address details
• If possible, keep a copy of the notarized version

Once the document is stored and copies are shared, you can move on to the next step.

What legal implications should you watch for?

• Check state laws and regulations so the agreement is valid and enforceable
• Identify and describe the goods being sold precisely to avoid future disagreements
• Record the date of purchase, the price, and the signatures of both sides
• Make sure each side holds a signed, dated copy
• If a disagreement arises, keep your paperwork and evidence organized to resolve it
• Store your copy in a secure location

Once you have covered these points, you can move on to the next step.

Tips to protect yourself and your interests

• Get familiar with the laws that apply to the sale of the item in question
• Collect all the details you need from the buyer, including full name, address, and contact information
• Include a clear, detailed description of the item or items being sold
• Record every term of the transaction, such as the purchase price and payment method
• Write the document in simple, easy-to-understand language
• Have both sides sign and date it
• Keep a copy for your records

You can check this off once every step above is done and the bill of sale is executed.

Where to find more help

• Research your state's bill of sale requirements and regulations
• Contact your local Department of Motor Vehicles or county clerk's office for guidance on vehicle-related forms and registration
• Confirm you have met the legal requirements before you sign
• Once you have gathered everything you need, move on to the next step.

Worked example: a bill of sale for a used forklift

Suppose a logistics company sells a used forklift to another business for $6,500. A complete bill of sale for this sale would include:

• Seller: Northgate Logistics LLC, 14 Harbor Road, Austin, TX
• Buyer: BrightPath Construction Inc., 220 Elm Street, Dallas, TX
• Item: One used Toyota 8FGCU25 forklift, serial number 8FGCU25-04412, sold as-is
• Price and payment: $6,500 paid in full by bank transfer on the date of sale
• Warranties: None. The forklift is sold in its current condition with no return policy
• Date and signatures: Both sides sign and date the document, and each keeps a copy saved as a PDF

Filling in those fields turns a blank template into a finished, professional document you can print or send. If any tax applies to the sale, record it alongside the price so the paperwork matches what each side reports.