What Is a Bill of Sale?
There are multiple types of bills of sale, but they all share a number of characteristics. A bill of sale refers to a legal document that records a transition of any type of personal property from one party to another. It should cover information about the participating parties, including their names and mailing addresses. A bill of sale also specifies the details of the deal, including the payment method and date of the transaction.
Depending on the type of property you are about to sell or purchase, a bill of sale template should contain specific information. Your state and county authorities determine which bills should be used for selling or purchasing certain assets. Mind that your state may not specify which form is needed for a particular type of property. In this case, just use a general bill of sale. As long as it’s filled in properly and doesn’t contradict the law, a general bill of sale is enough to prove ownership.
How to Create a Bill of Sale?
Bills of sale can be used when selling any type of property, from chewing gum to yachts and businesses. It’s worth remembering that an improperly composed document won’t have any legal power. Hence, using a state-authorized template of a bill of sale is essential to guarantee that it’ll fulfill its functions. Such documents can be obtained from local authorities or downloaded on our website for free. We provide a wide array of printable documents in PDF, DOCX, and other widespread formats. There’s no need to register an account or pay any fees.
Why Use Bills of Sale When Exchanging Goods?
A general bill of sale form is simple to obtain and complete, yet it involves multiple benefits for both sides of a deal. Buyers receive a simple way to prove their possession over a new item. If the newly purchased item needs to be registered with the state authorities, the bill must be provided alongside other documents. Bills of sale cover a wide range of goods, which allows using them under any circumstances.
In case buyers don’t have enough funds to close a deal while signing the bill, they can request a promissory note. It allows the buyers to pay for the purchase over a certain time, commonly, with pre-established monthly installments. Bills of sale also allow for trading in or handing assets over as gifts. The specific characteristics of every bill are pointed out through marking respective checkboxes in the document.
Bills of sale templates for any type of property are widely available on the Internet, particularly, in our database. Consider checking it out if you need a state-authorized document. We also offer a free form builder, which helps visitors create highly personalized templates.
Advantages of Bills of Sale
General bills of sale provide multiple advantages to both a buyer and a seller. Here are just a few notable benefits:
- Bills of sale help reduce fraud. Since every detail of the transaction is recorded on paper, neither of the parties can cheat. Before signing the bill, the buyer must review the purchased item and confirm its state and possible flaws. If the seller willfully signs the bill of sale, the buyer is definitely the rightful owner of the item.
- Buyers can use bills of sale to prove ownership over their assets. When you need to qualify for a loan or provide a tax statement, a bill of sale can prove that you possess given items. A properly recorded transaction may be enough to persuade a bank that you can pay back the credit.
- Bills of sale act as evidence in courts. This is particularly important when selling firearms, as unregistered weapons are involved in crimes quite frequently. Bills of sale guarantee that sellers won’t be held responsible for the crimes they have never committed.
- Bills help protect sellers’ rights. Each bill of sale contains a special field — “As Is” checkbox. It’s used to point out that the item is sold without any warranties, so the seller can’t be held accountable for any flaws.
- Individuals don’t need to contact independent third parties to sign a bill of sale. These documents are simple to design and fill in, which allows any individual to use them. In addition, signing a bill of sale only requires gathering two parties — the buyer and the seller. There’s no need to engage a public notary or independent witness.