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In this video tutorial, host James from Accounting Stuff explains what invoices are and their significance in business transactions. He highlights that understanding invoices is crucial for receiving payment, whether one is self-employed or working for a corporation. The video covers the key features of invoices and provides an example for better comprehension. James encourages viewers to watch until the end to address common questions about invoicing, ensuring clarity on the topic. Overall, the tutorial emphasizes that invoicing is an essential element of any business operation.