A Proforma invoice is a preliminary bill of sales sent to the client before completion of works. It is considered to be a commitment to goods or services that are to be delivered yet. It lists all the work that is left to be completed and knowing the prices that are being charged to goods and services. It is not an invoice but is made for accounting purposes needed either by you or the client.
You can prepare proforma invoices using Invoice Office as it offers easy billing systems along with time tracking of projects. The software is always available along with tax returns and business reports. You can make your invoices using the brand logo and image.
Purpose of creating Proforma invoices
The process of Proforma invoices is the streamlining of businesses and sales. After sending the invoice, the customers accept and agree to the price after which you send the goods and services. It helps in creating a good faith for estimating what the customers want and what they are expecting. Some other uses of these invoices are listed as under:
● It is sent for declaring the value of goods and services to the customers for ensuring the smooth delivery process.
● When you don’t have details of commercial invoices, then Proforma invoice comes to rescue at that point
● Some clients also use it for making any kind of internal purchase approvals. These are most often used for trade exports and import transactions.
Can proforma invoices be used for making payments?
By making these invoices using the Invoice Office, the accounts payable department can be used for issuing payments regarding advance to an actual document. It helps in avoiding any kind of misunderstandings for owing any kind of amount. After completion of the job, proforma invoices also have a reference number that can be added to the standard invoice for avoiding any kind of duplication of payments by the clients.
Benefits of these invoices
● It also serves as a pre-legal binding agreement
● It helps in the inclusion of all relevant and useful information anytime the client wants it
● It helps in tightening of sales to customers
● It helps in taking a great and final step towards sales
● It helps in minimizing errors and checking them
When to use the proforma invoice?
It is the first export document that you will make while making goods and services. It acts as a voluntary document and is used by businesses for exporting purposes. This invoice is made before the sale happens. This is the first document shown by the seller when the purchaser expresses for buying of goods. The final amount is also stated in the pre proforma invoice.
These invoices are sent for declaring the value of goods and services with regulatory services like customs, etc. So what are you waiting for? Visit www.invoiceoffice.com for dealing with these invoices and selling your goods to customers. You will not find anyone more reliable than this!