Help buyers to make a decision and agree to the quotation through the use of a pro-forma invoice.

by Tekle Sebhatu

Question:

We would really like to know about quotation prices and specifications

Answer:

When a buyer asks for a quotation, almost all inexperienced exporters quote the buyer by providing price and shipping information only. The price list is important, but it is only one component of the entire quotation. When a buyer asks for a quotation the seller should always provide a pro-forma invoice. A pro-forma invoice is an invoice sent in advance of the commercial invoice, which is the final bill that the buyer agrees to pay. Some of the advantages of pro-forma invoice to the importer include to show to his government for foreign currency allocation, opening letters of credit and most importantly, to have a detailed information on the transaction that can help him plan. An accurate and professionally submitted pro forma-invoice can help buyers to make a decision and agree to the quotation.