- Instrument in writing – they must be in writing. Oral orders or promise do not make a valid instrument
- Unconditional order/promise – the order in the bill and promise in the note must be unconditional. If conditions are present then it may affect its validity.
- Drawn on a certain person – it is drawn on a person hence the drawee must be a certain person
- A certain sum of money – the order or promise must be to pay a certain predetermined amount of money to the drawee, in spite of: (A) it includes future interest; (B) it is payable at an indicated rate of exchange; (C) it is payable according to the course of exchange.
- Payee to be certain – a bill or a promissory note is drawn payable to certain person or the bearer. Hence the payee is certain
- Payable on demand or after a certain date
- Signed by the drawer/maker – the drawer or the maker of the bill or promissory note puts on his signature on the instrument.
- Delivery essential – a bill or a promissory note is deemed to be drawn only when the person who has prepared it delivers it to the other party to whom it is meant