What is a bill of sale?
A bill of sale is a document that records the transfer of ownership of an item from a seller to a buyer in exchange for a stated price. It shows who sold what, to whom, for how much and on what date. Once signed by both parties, it serves as proof that the buyer now owns the item and that the seller was paid, which protects both sides if questions come up later.
When do you need a bill of sale?
- Private sales of valuable items: equipment, tools, furniture, musical instruments, electronics, livestock, firearms (where legal) and collectibles.
- Vehicles, boats and trailers. Many states require a bill of sale to register or title a vehicle or vessel. Some require their own official form, an odometer reading or notarization, so check your state DMV (or boating agency) before the sale. This general bill of sale is best used as a supporting record or where no state form is required.
- Business assets sold between companies or to an individual.
- Proof of ownership for insurance, warranty claims or a future resale.
A bill of sale is not the same as a title. For titled property such as cars, boats and trailers, the signed title (or the state's transfer process) is what legally transfers ownership; the bill of sale records the terms of the deal and the price paid.
What to include on a bill of sale
- Bill of sale number and date of sale
- Seller's full name, address and contact details
- Buyer's full name, address and contact details
- Detailed item description: make, model, year, color, condition
- Identifying numbers: serial number, VIN or hull identification number
- Sale price, and how it was or will be paid
- Condition terms, usually "sold as-is" with no warranties
- A statement that the seller owns the item and that it is free of liens
- Signatures and printed names of both seller and buyer, with dates
Worked example
Dan sells his 2019 Yamaha outboard motor and a propeller kit to Priya for $4,550, paid by bank transfer. He creates bill of sale BOS-0003:
| Item | Price |
|---|---|
| Yamaha F90 outboard, 90 HP, 2019, serial 6EH-1023456 | $4,200.00 |
| Stainless steel propeller and remote control kit | $350.00 |
| Total sale price | $4,550.00 |
The notes say the items are sold as-is, that Dan is the lawful owner and that there are no liens. Both sign and date the printed copy, and each keeps one. Because an outboard motor may need to be registered in some states, Priya checks her state's boating rules before she takes it on the water.
Tips and common mistakes
- Be specific about the item. "Outboard motor" is vague; the make, model, year and serial number make the document useful.
- Record the real price. Understating the price to reduce sales tax or fees can create legal problems for both parties.
- Say "as-is" if that is the deal. Without condition terms, a buyer may later argue there was an implied promise about quality.
- Both parties sign. An unsigned bill of sale is weak evidence. Make two signed copies, one for each side.
- Check for liens. For vehicles and boats, confirm the title is clear before money changes hands.
- Use the right form for vehicles. If your state DMV has an official bill of sale or title transfer form, use it; this document can sit alongside it.
- Selling as a business? If you sell goods regularly, a proper invoice and a receipt may suit you better.
How to use the bill of sale generator
- Enter the seller's details. A logo is optional, which is handy for business sellers.
- Enter the buyer's name, address and contact information.
- Set the bill of sale number and the sale date.
- Describe each item on its own line, including serial numbers or VINs, with its price.
- Review the as-is notes, choose one of 30 designs and download the PDF.
- Print two copies and have both parties sign on the signature lines.
The tool is free, has no sign-up and runs entirely in your browser.
This page is general information, not legal advice. Requirements for bills of sale, especially for vehicles, vary by state and country.
Frequently asked questions
Is a bill of sale legally binding?
A bill of sale signed by both parties is generally strong evidence that ownership transferred for the stated price. Whether it is enough on its own depends on the item and your jurisdiction.
Can I use this bill of sale for a car?
You can use it as a record of the sale, but many states require their own bill of sale or title transfer form, an odometer disclosure or notarization for vehicles. Check your state DMV before selling.
Does a bill of sale need to be notarized?
Most general bills of sale do not, but some states require notarization for vehicles, boats or other titled property. Your state DMV or local authority can tell you.
What does "sold as-is" mean?
It means the buyer accepts the item in its current condition and the seller makes no promises about quality or performance, so the buyer cannot later claim a warranty.


