Get Proforma Invoice - Estes Express Lines

The 2 documents are essentially the same thing, the difference may be that the final quantity on the Commercial Invoice can be different. Moreover, the quantity of products ordered (from the Proforma Invoice) is often different to the actual quantity of goods that have been shipped (Commercial Invoice).

A pro forma invoice is a quote in an invoice format that may be required by the buyer to apply for an import license, contract for pre-shipment inspection, open a letter of credit or arrange for transfer of hard currency.

A pro forma is used before goods are shipped and no payment is required. A commercial invoice is sent after the goods have been delivered and now, it is time to pay.

As a proforma invoice is not a legally binding document, or the official invoice used for accounting, they do not need to be cancelled. Similarly to a quotation document, if the sale does not go ahead, no action is required to edit or cancel the proforma invoice.

As outlined above, the proforma invoice is used by the buyer and the seller to negotiate the price and the terms of the sale. It may also be used by the buyer to obtain any necessary import permits, overcome any potential import restrictions and arrange for a letter of credit or some other payment process.

Most accounting or invoicing software include proforma invoice templates. Alternatively, you can create your own proforma invoice in applications like Microsoft Word and Google Docs.

The points to be included in the pro forma are: Seller's name and address. Buyer's name and address. Buyer's reference. Items quotedPrices of items: per unit and extended totals. Weights and dimensions of quoted products. Discounts, if applicable. Terms of sale or Incoterm used (include delivery point) Terms of payment.