How to Invoice as a Caterer in Tennessee

How to invoice as a caterer in Tennessee: TN sales tax 7.00% (services usually exempt), late fees capped at 1.5%/mo under Tenn. Code Β§47-14-103, written contracts required over $25,000. Step-by-step guide with a free template.

State sales tax
7%
Late fee cap
1.5%/mo
Net terms
14 days
Deposit
50%

1. Tennessee-specific invoice requirements

  • Sales tax line: 7.00% state rate. Most services rendered in Tennessee are exempt from sales tax β€” but materials, parts, and tangible goods are not. State 7%; combined commonly 9.25-9.75%.
  • Late-fee cap: Tennessee statute Tenn. Code Β§47-14-103 caps interest on unpaid invoices at 1.5% per month. Spell out the rate in writing on every invoice and in your contract β€” courts won't enforce undisclosed fees.
  • Written contract required: Tennessee requires a signed agreement for any job over $25,000. Reference the contract number on the invoice.
  • Right-to-cancel notice: Customers in Tennessee get 72-hour cancellation rights on certain home-services contracts. Disclose this in your terms.

2. Caterer line items + standard terms

Every caterer invoice in Tennessee should itemize work clearly. Standard caterers use Net 14 terms with a 50% deposit required upfront.

  • Per-guest food cost β€” billed by guest.
  • Service staff hours β€” billed by hour (~$35 default).
  • Equipment rental β€” billed by itemized.
  • Service charge β€” % of subtotal β€” billed by pct (~$18 default).

3. Caterer licensing in Tennessee

Health-department permit required in all states. Food handler / ServSafe certification expected. Liquor service requires separate license.

4. Send and follow up

Send the invoice the same day work completes. Use software that records open events and offers a one-click online payment so you don't need to chase a check by mail. Tennessee customers expect digital payment options today β€” accepting card and ACH typically reduces days-to-paid by 30–50%.

Average invoice
$3,800
State
TN
Net terms
14 days
Deposit
50%

Tennessee metro guides

Metro-specific guides include the combined sales-tax rate and local pricing benchmarks.

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