Invoicing explained

Proforma invoice vs Invoice

A proforma invoice is a preliminary, non-binding estimate of cost sent before delivery; a (final) invoice is the formal request for payment after delivery. The proforma helps the buyer commit or arrange payment; the final invoice records the sale.

What is proforma invoice?

A proforma invoice looks like an invoice but is clearly marked “proforma”. It's used to confirm a purchase, arrange financing, or clear customs before goods or services are delivered. It isn't a tax invoice and doesn't record a completed sale.

What is invoice?

A final invoice is the real request for payment, issued once the work or goods are delivered. It has a unique invoice number, counts for tax, and is what the client actually pays.

Proforma invoice vs Invoice: the key differences

Here's how proforma invoice and invoice differ at a glance:

  • Stage — proforma before delivery; final invoice after.
  • Legal weight — proforma isn't a tax document; the final invoice is.
  • Numbering — only the final invoice carries an official invoice number.

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Frequently asked questions

What is the difference between proforma invoice and invoice?

A proforma invoice is a preliminary, non-binding estimate of cost sent before delivery; a (final) invoice is the formal request for payment after delivery. The proforma helps the buyer commit or arrange payment; the final invoice records the sale.

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