Definition
A quotation lists products or services, quantities, unit prices, tax, discounts, and a grand total. Strong quotes also add a validity date, payment terms, and delivery notes.
When to send one
- A buyer asked for pricing
- A purchasing department needs a written offer
- The job has several line items or options
Quote vs invoice vs proforma
- Quote: “I am ready to sell at this price.”
- Proforma: Invoice-style preview, not a tax document. See what is a proforma invoice.
- Invoice: Legal billing document after the sale.
How to create one
Use create a quote or the quote form template. Writing tips: how to write a quote.
FAQ
What is a price quote?
A price quote (quotation) is a written sales offer listing scope, unit prices, tax, and total. It is not a tax invoice until the buyer accepts and you bill.
Is a quote legally binding?
Usually it becomes binding only after acceptance, a signature, or a contract. Local commercial law may vary.
Quote vs proforma invoice?
A quote is a sales offer. A proforma looks more like an invoice and is often requested for banks or customs. Neither replaces a tax invoice.