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In this video tutorial, Marcus demonstrates how to easily change an invoice template in Xero. Start by clicking on "Business" and then "Invoices." Choose the desired invoice, click on the three dots, and go to "Invoice Settings." Here, you can create a new branding theme, customize the invoice template with your organization's details, terms, payment advice, and more. You can also edit pre-created templates without having to start from scratch. This simple process allows for complete customization of your invoices in Xero.