When writing a business check to a supplier or creditor, you need to take a few more careful steps than you would when writing a simple personal check. Although business checks are similar to the format of personal checks, there are still a few differences you need to keep in mind.
Who Is the Payee?: It is sometimes difficult to determine the correct payee name for a business check. When paying a contractor or supplier, you shouldn’t automatically assume that you should make the check out to the name of the business. Check out your invoice forms to find the correct payment details.
Fill Out the Correct Details: Again, use your invoice folder as a reference to filling out the correct details for the rest of the check. If you have any questions, or are unsure of what information to use, don’t be afraid to call the business and ask. They would rather have you send them a proper check than one that they will be unable to use.
Sign and Record the Expenses: Even though this is a business check, you still need to sign with your proper name. The signature must come from someone who is signed onto the company’s financial account. You will also want to record the payment in your business account folder. This will help you keep track of both payments and overall finances for the company.
